MphasiS, announces consolidated results for the quarter ended

Net Profits and EPS up by 269.5%, records double digit EPS in the quarter

The MphasiS Group’s revenue increased by 58.1% to Rs 977.7 crores for the quarter ended 31 January 2009 from Rs 618.3 crores for the corresponding quarter in the previous year. Operating profit during the quarter ended 31 January 2009 was Rs 210.6 crores, a growth of 246.6% as compared to operating profit of Rs 60.8 crores in the same period a year ago. Net profit grew by 270.4% from Rs 56.7 crores to Rs 210 crores. EPS increased to Rs 10.05 from Rs 2.72 over the same period last year, recording a growth of 269.5%.

On a sequential quarter basis, revenue grew by 9.3% and net profit grew by 14.8%. EPS increased by 14.6% from Rs 8.77 last quarter. Operating margin and net margin improved to 21.5% during the quarter.

“The MphasiS team has produced good results after careful planning in the last few quarters, keeping our costs down and aggressively seeking business across all sales channels. In today’s challenging market, we will intensify our focus on operational excellence and productivity enhancement.” said Ganesh Ayyar, CEO MphasiS.

During the quarter ended 31 January 2009, the group added 9 new clients including 6 relationships through HP. These include a large national health insurance company, a company in the biotechnology industry and a community bank and international financial services group.

The group added headcount by 1,193 net, during the quarter of which 574 were freshers recruited from campus. The group’s headcount stood at 29,988 as at 31 January 2009. Cash and Bank balances including short term investments in Liquid Mutual Funds improved to Rs 311.5 crores as at 31 January 2009. Billing rates held steady during the quarter.

About MphasiS
MphasiS, an EDS company, is a leading Applications Services, Remote Infrastructure Services, BPO and KPO services provider. We deliver real improvements in business performance for clients through a combination of technology know-how, domain and process expertise. With currently over 28,000 people on the roles, we service clients in Financial Services, Healthcare, Communications, Transportation, Consumer & Retail industries and to Governments around the world. To know more, please visit http://www.mphasis.com.
About HP

HP, the world’s largest technology company, simplifies the technology experience for consumers and businesses with a portfolio that spans printing, personal computing, software, services and IT infrastructure. More information about HP (NYSE: HPQ) is available at http://www.hp.com.

For further information please contact
Michelle Nalini Kumar

MphasiS Corporate Communications

Mobile: +91 98450 61533

Email: michelle.kumar {at} mphasis(.)com