Trigyn Q3 net loss $450,000

NEW DELHI: Indian software services firm Trigyn Technologies Ltd. announced

on Wednesday a net loss of $450,000 in the third quarter due to a $3.5 million

provisioning for expected payment defaults.

The company said in a statement its third quarter sales was $11.2 million.

Net profits after tax but before writeoffs in the third quarter was 14.58 per

cent of sales, growing from 2.66 per cent in the first and 11.1 per cent in the

second, the statement added.

Trigyn develops software and provides tech services to firms such as

Metamatrix, Hewlett-Packard, Merrill Lynch and Citibank.

It was formed a year ago after the merger of Leading Edge Systems with

e-capital Solutions. These firms had a combined turnover of $20.28 million in

1999-00 (April-March).

Some $2.0 million of the provision is identified against dotcom companies,

which are not expected to pay their debts, the statement said.

The company said it continues to steer its business away from dotcoms to

convergent applications where customers tend to be larger and more stable.

Dotcom customers comprised 20 per cent of its revenues in the first and

second quarters of this year while it was 10 per cent in the third. The firm

projected this would decline to five per cent in the fourth quarter.

The firm's shares closed Rs 8.65 lower at Rs 234.25, while the benchmark

Bombay index was down 1.04 per cent at 4,326.72 points.

(C) Reuters Limited 2001.