Virtusa posts Q3 net profit of $6.3 mn

Virtusa posts Q3 net profit of $6.3 mn

Recorded a consolidated revenue of $44.9 million during the reporting quarter

Friday, January 30, 2009

CHENNAI, INDIA: Virtusa Corporation, a provider in IT consulting, technology implementation and application outsourcing services, announced on Thursday its financial results for the third quarter of the financial year 2009, ended December 31, 2008.

It reported a net income of $6.3 million, or $0.27 per diluted share, compared to $5.3 million, or $0.21 per diluted share for the reporting quarter , said a press release.

The revenue for the quarter stood at $44.9 million, up 6 per cent year-over-year and 2 per cent sequentially, it added.

The company recorded income from operations of $5.4 million for the third quarter of FY 2009, compared to $5.9 million for the third quarter of FY 2008.

“We are very pleased with our strong third quarter performance. The challenging economic environment is precipitating clients to improve IT efficiencies within their core business processes,” said Kris Canekeratne, chairman and CEO, Virtusa.

“Our consultative platforming approach reduces IT costs and accelerates realization of business results. This combined with our industry-leading global delivery model and track-record of service excellence provides extraordinary value to our clients," he added.

Ranjan Kalia, chief financial officer, said: "Our improved profitability in the third quarter reflects the benefits of operational programs initiated in the first half of this fiscal year and we remain focused on sustaining these programs."

Kalia added: "Our current guidance for the fourth quarter of fiscal 2009 reflects the tough economic environment, the timing of our clients' budgeting processes, and the negative foreign exchange impact of the British Pound versus our third quarter results."

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