Mastek surges on strong Q3 profits, margins

MUMBAI: Shares of Mastek surged higher in trade after the company’s third quarter net profit surged on the back of strong margins.

The company reported a net profit of Rs 18.3 crore for the quarter ended December 2013, up 21.2 per cent, as compared to a net profit of Rs 15.1 crore in the previous quarter.

Its income from operations increased to Rs 240.2 crore, up 1.5 per cent, against Rs 236.7 crore, a quarter ago. Margins for the quarter moved higher to 14 per cent against 11.4 per cent, Quarter-on-Quarter.

According to the management, the 12-month order backlog currently is at Rs 513 crore. Orders from government and insurance deal pipeline remain robust.

The insurance business contributes 52 per cent to Mastek’s overall revenues.

At 12:30 p.m., the stock was at Rs 187.80, up 4.92 per cent, on the BSE. It touched a high of Rs 191.45 and a low of Rs 179.15 in the trade today.