SSI net zooms

CHENNAI, AUG 23: SSI Ltd, the Chennai-based sofware company, has recorded a whopping increase in income from operations to Rs 197.51 crore...

CHENNAI, AUG 23: SSI Ltd, the Chennai-based sofware company, has recorded a whopping increase in income from operations to Rs 197.51 crore for the year ended June 2000 as against Rs 84.93 crore during the corresponding period last year, an increase of 132 per cent. Net profit swelled to Rs 56.93 crore Rs 18.07 crore, an increase of 215 per cent. The entire income from operations represents income related to software business. The company board has recommended a dividend of 40 per cent.

Other income, which provided a strong helping hand in increasing the net profit, was at Rs 16.83 crore Rs 2.67 crore. It includes Rs 7.23 crore on account of exchange rate difference. Interest charges accounted for Rs 3.51 crore Rs 5.62 crore. Depreciation increased to Rs 14.91 crore Rs 6.12 crore. The profit before tax was at Rs 69.54 crore Rs 22.62 crore. Provision for taxation accounted for Rs 12.61 crore Rs 4.55 crore.

The paid-up equity share capital increased to Rs 12.80 crore Rs 11.87 crore. During March 2000, the company had raised 100 million through a GDR issue with the stock being listed on the London Stock Exchange LSE.

The company has formed a joint venture with the National Association of Security Dealers NASD. The JV, Indigo Markets Inc, has NASD holding 55 per cent of the equity and SSI the rest, which will provide solutions in the security segment of the stock exchanges besides powering Nasdaq8217;s global expansion plans. SSI Technologies will provide software development and consulting services to Indigo.

During the year the company had acquired Indigo International Inc, USA for a consideration of Rs 12.78 crore through a preferential stock swap. Its operations have been integrated into the securities vertical of SSI Technologies.

Inndsoft Systekh Ltd, Chennai was also acquired for a total consideration of Rs 3.15 crore. It will provide the new age content delivery mechanism for SSI Education and will drive the retailing trust off SSI content in IT training in India and abroad. SSI-Inndsoft computer based testing material is presently retailed in 3000 retail outlets and cater to the internal training needs of corporates.

SSI Ltd had also invested Rs 3.60 crore for an 80 per cent stake in Agenda Netmarketing Pvt Ltd 3rd Agenda which has expertise in designing and delivering web projects and e-commerce applications.

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The company will induct two non-executive members, R Manoharan an engineer and entrepreneur and K Vaitheeswaran a cost and works accountant and lawyer into its board.

SSI Technologies has expanded its overseas marketing infrastructure with more offices being opened in the US, Europe UK, Singapore and Australia. It is a focused solutions provider in the verticals of banking, securities, insurance, telecom and healthcare. It has set up three offshore development centres during the year. A large centre in Chennai is being planned during the current fiscal.