Vizag IT News!

Sir · Posted: Mon Apr 21, 2008 4:09 pm Post subject:

Infotech gets more profits this quarter
Vizag facility construction work is started.

Commenting on the Fourth quarter FY 08 and Annual results Mr. BVR Mohan Reddy, Chairman and Managing Director, Infotech Enterprises, said, "I am pleased to announce another strong quarter and annual performance. The company has delivered a robust growth performance during the quarter and year under review. Profit before taxes crossed Rs. 100 crores for the financial year.

Our geographies have shown strong sustainable performance. Our German and US subsidiaries have growth rates in excess of 42% and 36% respectively. Our Asia Pacific, India and Middle East contributed to around 10% of total revenues. Our diversified revenue portfolio, both in currencies and geographies, makes us believe that the operating margins are not likely to be impacted any further.

Manufacturing, Utilities and Telecommunications, our key verticals continue to be robust in growth and don't show any signs of slow down. Our engineering services business contributed to over US$ 100 million to our revenues for the first time in the history of the company. Going forward, we expect to continue to deliver significant growth on the back of increased order intake and high visibility of business in both the verticals.

Our staff strength has grown to over 7000 by March 31, 2008. By inducting some key leaders into the company in the areas of Sales and Marketing, Practice Management and Operations, we are ready for sustained growth rates inspite of the increased base

New facility acquired at Noida location. Moved into own facility at Bangalore. Increased seat capacity at Kakinada. Started work for Vizag facility.

Thanks,
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Sir

Sir · Posted: Tue Apr 22, 2008 7:38 pm Post subject: Vizag Ahead!

Tangent Solutions charts Rs 120cr spread.
Vizag facility soon.

Tangent Solutions India, a Hyderabad-based technology company with a subsidiary in the US, is lining up a $30-million (around Rs 120 crore) expansion plan.

This includes setting up development centres in Visakhapatnam and Bangalore, besides opening marketing offices in Mumbai and Delhi.

“We are in the process of acquiring an existing 120-seater facility in Vizag, which would be up and running in the next three-four months, while scouting for a suitable facility in Bangalore. We plan to open the Mumbai and Delhi offices in a couple of months,” Gopi Krishna T, managing director of Tangent Solutions, told mediapersons here on Friday, adding that a few private investors had already expressed consent to support its plans.

The expansion would take the privately-funded company’s headcount to 500 in the next four months, from the present 38 in Hyderabad and 16 in the US, he added.

Meanwhile, Tangent rolled out its maiden product ‘CashCow+’, a multi-party electronic settlement solution in supply chain financing (SCF) in the domestic market. Tangent acquired CashCow from US-based MidWest Bank for $8 million (around Rs 32 crore), besides acquiring the intellectual property rights on it, around two years ago. It further invested around $10 million (Rs 40 crore) in customising the product for the Indian banking and manufacturing industries.

The company has already obtained permission from the Reserve Bank of India for implementing the software in India.

“CashCow not only helps customers in speeding up collection of receivables but also realises the potential an invoice can bring into the business. For businesses, it enhances the productivity by increasing the cash inflow, thereby making the invoice the working capital,” Krishna said.

Tangent has implemented the software in the US, generating one million transactions per day, which translated into revenues of $300 million (Rs 1,200 crore) over three years.

In India, around Rs 7,000 crore worth of invoice transactions take place in small and mid-size companies every day, which is yet to be tapped. Tangent plans to penetrate this potential and expects to garner revenues of Rs 800 crore in two years from now.

“We will be initiating two pilots of the product in India during next month. We are currently in discussion with a few banks and financial institutions in the country for deployment of CashCow and expect to bag at least five of them during the first year of the launch,” he added.
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Sir

RealityRider

By Shaik Ahmed Ali and Arvind Sukumar, CNBC-TV18

IT companies are moving lock, stock and barrel to Vizag from Hyderabad. One of the reasons is that their employees want a better quality of life.

The palatial campus of Kenexa, a human capital management company, is one among several companies that are relocating their headquarters to the Rishikonda Hills of Vizag. Kenexa has invested nearly USD 10 million to build the 700-seater campus. Nearly 60% of the company's employees working in Hyderabad have opted to move here.

“The first batch of 30-40 employees have already moved. Hopefully, by the year-end, 60 to 70 per cent of them will move here. Our future growth will be in Vizag. We are committed to it and this will be our future global service centre,” said Raghuveer Sakuru, MD, Kenexa (India).

Kenexa said the reason for the move is increasing pollution and traffic congestion in Hyderabad. Though the company had to spend nearly USD 3 million on relocation packages for its employees, it's not complaining.

"The cost of the land is significantly lower here. So, you can afford to build bigger buildings and give larger workstations. So, our average per employee square feet runs into 160-170 square feet,” said Rudy Karsan, Global CEO, Kenexa.

Software companies are also relocating to Vizag. Satyam is constructing its second campus while Infosys, Wipro and TCS are making huge investments in the city.

Instead of going for fresh recruitment, the companies are planning to relocate their employees from Hyderabad to Vizag. They are hopeful that their employees will be more than willing to work from Vizag, even at lesser salary.

“The awareness among youngsters is such that they are willing to even accept 10-15% lower earnings and be in a place like Vizag than in a congested and polluted place like Hyderabad,” said Pradeep Dhobale, Chairman, CII Andhra Pradesh.

The Vizag district authorities are trying to take advantage of the trend. They have started offering group-housing schemes to attract young professionals.

Source : http://www.moneycontrol.com/india/news/BUSINESS%20NEWS/it-cos-moving-to-vizaghyderabad/02/02/331048

webgeek · Posted: Wed Apr 23, 2008 5:00 pm Post subject:

There are lots of work in progress. Hope to see them out soon before the IT industry gets hit by some other bubble Laughing

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