MphasiS gains 2% as Q3 profit rises 7% to Rs 209 crore

NEW DELHI: MphasiS gained more than 2 per cent in early trade on Thursday after the company reported a 7 per cent rise in profits during the third quarter ended July 2012.

Revenues for the company grew 5 per cent to Rs 1,355 crore from Rs 1,294 crore in the same period a year ago, while net profits rose 7% to Rs 209 crore from Rs 195 crore last year.

At 09:45 a.m., MphasiS was trading 2.1 per cent higher at Rs 376.80. It has hit a low of Rs 368.95 and a high of Rs 380 today.

“Mphasis is a part of EDS. The services arm of technology major HP has been witnessing a falling trend in the business it gets from its largest client and parent, over the past few quarters,” ET reported. Mphasis has been betting big on its non-HP business to compensate for the loss of business from its parent.

The Mumbai-based brokerage firm Angel Broking said the company’s 3Q FY 2012 numbers underperformed, but the revenue was higher than expectations on the net profit front.

“The dollar revenues came in at US$252mn, down 3.5 per cent QoQ, due to softness in developed markets which led to ramp down in some projects from HP channel,” said the report.