Oracle Financial net profit doubles at Rs 263 cr

Oracle Financial Services Software’s (formerly known as i-flex) net profit more than doubled for the third quarter ended December 31, 2008 to touch Rs 263 crore, from Rs 106.6 crore in the corresponding quarter last fiscal. Revenue for the quarter rose 29 per cent to touch Rs 801 crore against Rs 619 crore in the same quarter last year. The company had a net income of Rs 5 crore for the third quarter, which is largely due to foreign exchange hedging. Whereas the company had a Rs 4 crore loss in the corresponding quarter last year. Sequentially, the company’s net income almost tripled from Rs 93.4 crore-- and revenues grew 13 per cent from Rs 707.4 crore. Revenue from the product business was up 38 per cent on a y-o-y basis and services business contributed 20 per cent during the quarter. During the quarter, the company signed 11 new customers. “These numbers demonstrate our compelling value proposition to financial institutions in the current challenging global economic scenario. We are able to deliver operational efficiencies through technologically advanced, comprehensive transaction processing systems while at the same time being able to provide advanced risk and other analytics solutions that are important in managing bank’s risks & exposures,” said N R K Raman, managing director and CEO. “Measures to contain costs and focus on productivity improvements have resulted in GAAP operating margins increasing in this quarter from 18 per cent to 32 per cent and net margins increasing from 17 to 33 per cent over the corresponding quarter in the last financial year,” said Makarand Padalkar, chief financial officer.