Vakrangee Softwares Limited = Q3 FY 2012 RESULTS = IMPROVING FAST = NPT UP BY 7% QOQ; 11% YOY

Vakrangee Softwares Limited

Q3 FY 2012 RESULTS

ABOUT THE COMPANY

(From its Q3 FY 12 Results communication)

Vakrangee Softwares is a leading e-Governance service providers in India equipped with cutting edge infrastructure, highly experienced professionals, strong investment and technological breakthrough on a continual basis in order to maintain strict time-bound completion of mission critical and socially relevant projects. 

The Company has been certified with ISO 9001:2008, ISO 20000:2005 and ISO 27001:2005 by international agencies. 

Vakrangee Softwares Limited; incorporated in the year 1990, is a pioneer and an established player in e Governance, Document and Printing Management. It has been awarded 18^th rank in the Deloitte Technology Fast50 India 2011 program; identified as one of the 100 Best Mid Size Companies in India as per Business World (July 16, 2007 Issue); featured in The Economic Times ET-500 Best Companies in 2006-07; and in the list of the Top 250 Technology fast Asia Pacific Companies of 2003 & 2004 by Deloitte Touche Tohmatsu.

ANALYSIS OF RESULTS BELOW

Net Sales in Q3 FY 12 has increased to Rs.340.58 cr – from Rs.312.1 cr(Up by 9.13%) in Q2 FY 12; and from Rs.260.75 Cr (Up by 30.62%) in Q3 FY11.

Raw Materials Cost in Q3 FY 12 stands at Rs.267.01 cr – compared to Rs.257.41 cr (Up by 3.73%) in Q2 FY 12; and Rs.215.65 cr (Up by 23.82%) in Q3 FY 11.

Total Expenditure in Q3 FY 12 stands at Rs.300.22 cr – compared to Rs.278.36 cr (Up by 7.85%) in Q2 FY 12; and Rs.233.68 cr (Up by 28.47%) in Q3 FY 11.

Profit from Operations stands at Rs.40.36 cr in Q3 FY 12 – compared to Rs.33.74 cr (Up by 19.62%) in Q2 FY 12; and Rs.27.06 CR(Up by 49.12%) in Q3 FY 11.

Interest    expense stands at Rs.16.8 cr in Q3 FY 12 – compared to Rs.11.06 Cr (Up by 51.9%) in Q2 FY 12; and Rs.5.24 Cr (Up by 220.29%) in Q3 FY 11.

Profit before tax stands at Rs.25.54 cr in Q3 FY 12 – compared to Rs.23.22 cr (Up by 9.98%) in Q2 FY 12; and Rs.22.14 Cr (Up by 15.34%) in Q3 FY 11.

Net Profit stands at Rs.17.27 Cr in Q3 FY 12 – compared to Rs.16.17 cr (Up by 6.78%) in Q2 FY 12; and up by Rs.15.58 Cr (Up by 10.81%) in Q3 FY 11.

Basic EPS on a Face Value of Rs.10 stands at Rs.6.91 in Q3 FY 12; Rs.6.47 in Q2 FY 12; Rs.5.7 in Q1 FY 12; Rs.6.17 in Q4 FY 11; Rs.6.93 in Q3 FY 11.

The annualized EPS could come to Rs.25 for FY 12.

Current MP is Rs.336.05.  52 week high price is Rs.419 while the 52 week low price is Rs.268.8.

Thus, the Price-earning Ratio comes to  13.44. The public shareholding is over 70% in the company – reflecting healthy balance. The equity at Rs.25 cr is low.

Key Financial Highlights for 9 months ended December 31, 2011 for FY12 

For 9 months ended December 31, 2011, Net Sales stood at Rs.900.17 crore as against Rs.582.57 crore for the same period of last financial year, registering a growth of 54.5%.

For 9 months ended December 31, 2011, PAT stood at Rs.47.69 crore as against Rs.34.18 crore for the same period of last financial year, registering a growth of 39,5%

The last Chairman’s Message of the company says the following details :-

We are fortunate to have partnered the government in its very first e-governance initiative (the Voters Photo Identity card project), wherein we set up and managed 100,000 citizens’ centers for collecting data and issuing voters identity cards across the states of Maharashtra, Rajasthan, Gujarat and U.P. Since then, our management band width has increased as has our capabilities to implement large initiatives. Our wholly owned subsidiary is presently implementing the complete land record dematerialization program for the state of Philippines! This is a project involving creation of digital records of 20 million land titles and over 10 million supporting documents within a tight deadline. The project will enable online processing of land transactions across Philippines. Today our lines of business include Systems Integration and IT Enabled Services. The verticals we serve include Government, BFSI, Utilities (Telecom and Power) Retail and Transportation etc. We have set out a concrete agenda and made a good beginning in the BFSI sector in partnership with one of the world’s leading hardware and software companies.

We have ongoing business in the ITES domain and an exclusive tie up with one of India’s top most IT companies to jointly bid for e-governance and BFSI projects in the state of Rajasthan. In this one state alone, there is a potential business of over USD1 Billion in the offing.

At the same time, there are multibillion dollar opportunities in the e-governance programs of the central government and those of other states. The Unique Identity Number project, the Power sector reform program R– APDRP, Implementation of core banking solutions in the rural banking network, the GIS projects, the Smart Ration Card scheme (under PDS ), e- driving licenses, the e- panchayat program etc. These multibillion dollar opportunities promise to last for the coming decade.

RESULTS TABLE

VAKTAANGEE SOFTWARES	31-Dec-11	30-Sep-11	% DIF	30-Jun-11	31-Mar-11	31-Dec-10	% DIF
Net Sales	34058.3	31209.96	9.13	24748.4	26976.39	26074.85	30.62
Increase inSIT / WIP	65.46	-199.35	-132.8	-42.03	271.24	-48.12	-236.03
Raw Materials	26701.03	25741.24	3.73	20352.43	22048.12	21564.58	23.82
Employees Cost	302.47	194.99	55.12	183.48	279	164.23	84.17
Depreciation	2511.39	1835.93	36.79	1410.24	1424.76	1447.88	73.45
Other Expenditure	442	263.16	67.96	214.49	261.06	239.84	84.29
Total Expenditure	30022.35	27835.97	7.85	22118.61	24284.18	23368.41	28.47
Profit from Operations	4035.95	3373.99	19.62	2629.79	2692.21	2706.44	49.12
Other Income	194.65	61.58	216.09	75.87	54.08	32.5	498.92
Interest	1679.77	1105.86	51.9	642.26	592.78	524.45	220.29
Profit before tax	2554.18	2322.38	9.98	2057.78	2044.3	2214.49	15.34
Tax expense	827.24	705.11	17.32	636.23	654.66	656.02	26.1
Net Profit	1726.94	1617.27	6.78	1421.55	1389.64	1558.47	10.81
Face Value (In Rs	0	0		0	0	0
Paid Up Equity	2501.17	2501.17	0	2494.13	2371.15	2249.62	11.18
Basic EPS	6.91	6.47	6.8	5.7	6.17	6.93	-0.29
Diluted EPS	6.9	6.47	6.65	5.69	5.58	6.18	11.65
Public holding (%)	70.15	70.17	-0.03	70.08	73.67	77.36	-9.32

 *  *  *  E  N  D  *  *  *