BENGALURU (Reuters) – Engineering and information technology firm Cyient Ltd on Thursday reported a bigger-than-expected rise in fourth-quarter revenue, aided by a strong services deal pipeline.
The company’s consolidated revenue from operations rose 48.3% to 17.51 billion rupees ($213.22 million) for the three months ended March 31, beating analyst expectations of 17.29 billion rupees, according to Refinitiv IBES data.
Revenue from the services segment was at 14.48 billion rupees, up from 9.84 billion rupees a year earlier.
The Hyderabad-based company said it expects consolidated services revenue growth in the range of 15–20% year-on-year on a constant currency basis for fiscal 2024.
“We won five large deals in the core services (segment) with a strong total contract potential of $185.1 million this quarter,” said Krishna Bodanapu, executive vice chairman and managing director at Cyient.
The result comes at a time when the Indian IT industry is grappling with tightened spending from clients amid fears of recession and a banking crisis in key markets of the U.S. and Europe.
Last week, India’s top two IT exporters, Tata Consultancy Services Ltd and Infosys Ltd posted disappointing quarterly numbers, with the latter forecasting the slowest revenue growth in six years.
Cyient’s consolidated net profit for the quarter, which stood at 1.63 billion rupees, was dented by 162 million rupees in legal costs incurred by one of the company’s U.S. units in an antitrust lawsuit.
The company’s design-manufacturing business Cyient DLM, which filed for listing earlier this year, reported an over-53% increase in revenue.
($1 = 82.1200 Indian rupees)
(Reporting by Nishit Navin in Bengaluru; Editing by Janane Venkatraman)
