NIIT Limited announces Q2 (July-Sept 10) consolidated results 2010-11
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·Q2 PAT up 9% YoY at Rs 28.5 Cr on a Net Revenue of Rs 345.8 Cr ·EBITDA margin grows by 161 bps at 15% ·New Businesses grow 114%; China grows 44% ·Corporate Learning Solutions records order intake of USD 31 Mn |
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NIIT Limited : Q2 (July- September, 2010) Consolidated Financials at a Glance (in Rs Cr) |
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Qtr ended |
Qtr ended |
Growth YoY |
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Global System-wide Revenue |
555.6 |
574.4 |
3% |
15% YoY growth on a like-to-like basis* |
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Net Revenue |
359.8 |
345.8 |
(4%) |
14% YoY growth on a like-to-like basis* |
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EBITDA |
49.6 |
53.2 |
7% |
EBITDA margin of 15% with 161 bps improvement |
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Profit After Tax |
26.2 |
28.5 |
9% |
EPS of Rs 1.7 |
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*Normalized for one time pass through revenue last year
During the quarter, NIIT strengthened its offerings in the IT space with the launch of GNIIT for Engineers, an industry-endorsed program designed to enhance employability of engineering graduates. The company also entered into an alliance with Tally, to create skilled workforce for Small and Medium Businesses.
Individual Learning Solutions recorded 17% YoY growth in net revenue on the back of 8% growth in GNIIT series enrolments, 177% growth in the job-oriented diploma programs and 172% growth in Finance & Management training enrolments.
In international markets, NIIT further strengthened its positioning in global talent development. China operations recorded a robust growth of 44%. The company also set up new operations in Brunei and organized its 11th successful scholarship drive in Nigeria.
Finance & Management Training (FMT) recorded a 139% YoY growth in revenue. NIIT Imperia entered into a strategic alliance with Google to offer cutting-edge training program in online advertising, certified by Google.
Corporate Learning Solutions (CLS) recorded a net revenue of Rs 148.7 Cr, up 11% YoY with a volume growth of 15% YoY. Order intake for CLS was at USD 31 Mn for the quarter as a result of significant customer wins in Managed Training Services. The closing order book stood at USD 92 Mn, up 11% YoY.
Commenting on the quarter performance, Mr Vijay K Thadani, Chief Executive Officer, NIIT Limited, said, “Robust order intake of USD 31 Mn supported volume growth in Corporate Learning Solutions business. This reflects distinctiveness of NIIT’s solutioning capabilities and is also an endorsement of Element K’s vast eLearning library.
During the quarter, NIIT reaffirmed its leadership position in the IT training space by winning the Dataquest Top IT Training Company Award 2010, for the 18th consecutive year. NIIT also received the prestigious Microsoft Partner Summit Award for Best Learning Solutions, Highest Revenue Partner for the year 2009-10 and the Franchisor of the year Award 2010 by Franchise Plus Magazine, for developing and demonstrating the best business model in the field of Information Technology Education.
NIIT along with its brand ambassador, Grand Master Viswanathan Anand launched the ‘Certificate Program in Chess as Mind Booster’ in partnership with IGNOU, to enable development of young minds through Chess. This is the first such program to be made available in this space.
Mr P Rajendran, COO, NIIT said, “Fresh order intake of another Rs 48.7 Cr in the School Learning Solutions business strengthened the order book further, for ensuring a robust delivery of annuity based revenues in the future.”
Other highlights:
- NIIT (USA) received the CLO Gold award for Virtual World Education, for the customized training solution put together for KFC in the US.
- Element K Inc. was named the finalist for "Best IT Content 2010" by ELearning! Magazine and was ranked among “Top 20 Learning Portal Companies" by Training Industry Inc. during the quarter.