Aztec to open branch in Europe

IRIS

Banglore-based software company, Aztech Software, plans to open a branch or a

subsidiary in Europe in order to expand into the European market. Speaking

exclusively to myirisfn.com, AG Muralikrishnan, chief financial officer, Aztec

Software, said the branch or subsidiary will be established in the current

quarter. The cost of opening the branch/subsidiary will be written off in the

current year’s profit and loss account as the capital outlay will not be high.

When asked about its dependence on US markets, he said, `US is a huge market

and is capable of giving business to our company to sustain growth. We are a

US-focused company. Apart from the US, the company will be focussing on European

markets. During Q4, we acquired one customer from UK`. Ninety five per cent of

the company`s revenues comes from the US market.

`Onsite revenues contribute 37 per cent and offshore contributes 53 per cent

to total revenues. The company has posted billing rates of $30 offshore. Onsite

billing rates are expected to stabilize while the offshore rates will remain

under pressure`, he said, commenting on billing rates.

`Any work which can be done offshore will be the focus of Aztec Software`, he

added, commenting on the company`s focus for the current year.

Source: myiris.com