NIIT Limited declares Consolidated Results for Q4 and FY 2010-11

Q4 Net Profit up 53% YoY 

Quarter Highlights

 

• Q4 Net Profit up 53% YoY on a Net Revenue of Rs. 323.7 Cr up 10% YoY
• Corporate Business clocks USD 40 Mn fresh orders
• IT Career enrolments grow 19%; Private School sign-ups increase by 94%
• Board recommends Dividend of 75%

New Delhi, May 10, 2011: NIIT Limited, leading Global Talent Development Corporation and Asia’s largest IT trainer, today declared its consolidated results for the fourth quarter ended March 31, 2011. In this quarter, the company’s Profit After Tax grew 53% YoY to Rs. 37.8 Cr. The Company recorded Net Revenues of Rs. 323.7 Cr during the quarter, up 10% YoY. EBITDA for the quarter stood at Rs. 40.5 Cr, representing an EBITDA margin of 13%.

The consolidated global system-wide annual revenue for the year ended March 31, 2011, stood at Rs. 1907.2 Cr, while the annual net revenue was recorded at Rs. 1248.3 Cr. EBITDA for the Financial Year 2010- 11 was Rs. 159.3 Cr. PAT for the year grew by 31% to result in an EPS of Rs. 5.6 per share.

The results were taken on record at the meeting of the Board of Directors here today.

The Board has also proposed a dividend of 75%, amounting to Rs. 1.50 per share.

Commenting on the company’s performance Mr. Vijay K. Thadani, Chief Executive Officer, NIIT Limited said, “All round improvements in business led to increased revenue of 10% and a 53% increase in PAT during the quarter”.

Individual Learning Solutions (IT) recorded a 19% increase in IT Career enrolments on net revenues of Rs. 122.1 Cr. Placements grew 43% in Q4 reflecting strong acceptance of NIIT students by the industry.

Training on Android platform in association with Google, commenced this quarter. The fourth quarter also saw NIIT entering into a strategic alliance with Zend Technologies to launch global PHP training and certification program.

ILS (IT) net revenues for the year grew 10%, backed by strong growth of 66% in job-oriented diploma programs and a robust 23% growth in the China Business. Placements for the full year grew 31%.

During the year NIIT entered into a number of strategic partnerships to offer high end training and introduced programs to re-skill professionals to meet industry needs. The company announced partnerships with- SAP for ERP training; Google for certified ‘Advanced Online Advertising’ program for advertising and marketing professional; Tally to create skilled workforce for small and medium businesses (SMBs) on next generation business management solutions and IGNOU for industry linked Executive MBA and Finishing School Programs as well as BSc (IT) for select international markets.

NIIT further expanded its reach during the year, by strengthening its presence in Brunei and Indonesia. The company brought together technology leaders in the first-ever Technology Partner Conclave in Ghana to educate youth in the latest technologies.

New Businesses led by Finance & Management Training (FMT) recorded a 28% YoY growth in revenue during Q4. Institute of Finance, Banking and Insurance (IFBI) added new customers for training programs in the BFSI industry including- UBI, Corporation Bank and Canara Bank.

According to Mr. G Raghavan, Chief Executive, Career Building Solutions, NIIT Limited, “Consistent relevance and expansive array of our job-oriented programs reflected in 19% YoY growth in career enrolments and 43% YoY growth in overall placements during the quarter”.

Corporate Learning Solutions recorded net revenues of  Rs. 152.6 Cr during Q4, coupled with a strong order intake of USD 40 Mn and a closing order book of USD 98 Mn.

During the year, Learning Products from Element K grew 19%. In addition to Philips, Corporate Learning Solutions added 5 more significant customers this year, through multi-year Managed Training Services engagements.

Mr. Sapnesh Lalla, Chief Executive, Learning Solutions for Enterprises, NIIT Limited said, “Learning Products and Managed Training Services engagements provide a step function growth opportunity which substantially improves the quality and predictability of our revenue”.

School Learning Solutions recorded net revenues of Rs. 37.4 Cr during Q4. It signed up 196 private schools during the quarter, growing by 94% over the same period last year.

NIIT further strengthened its Private schools offerings with the launch of Mobile Science Lab in association with Fourier Systems, a leader in science education in FY 2010-11.

During the year 581 private schools were added, growing by 76% over last year.

NIIT also associated with the Gujarat government during the year, to set a New Guinness World Record in simultaneous Chess, where 20,480 players played Chess together, under the guidance of World Chess Champion and NIIT MindChampion Viswanathan Anand. Over 12,000 participants were school students from the NIIT MindChampions’ Academy- a joint initiative by NIIT and Anand to promote Chess in schools.     

NIIT’s thrust on alignment of people practices with its overall business strategy to create a positive employment experience, continued to get industry accolades. NIIT has recently been featured in Aon Hewitt’s Top 25 list of ‘Best Employers in India-2011’ and has been voted as the ‘Best Education Company to work with’ at the Indian Education Awards 2011, by Franchise India.

Other acknowledgements during the year:

·         NIIT won ‘Top IT Training Company Award 2010’ by Dataquest magazine for the 18th year in succession.

·         NIIT received ‘Franchisor of the Year: IT’ award by Franchise Plus, India’s leading business opportunity magazine.

·         NIIT’s association with Grandmaster Viswanathan Anand was recognized as the Top brand ambassador engagement at the Indian PR and Corporate Communication Awards (IPRCCA) 2011, instituted by Exchange4Media.

·         Element K won the Brandon Hall Silver Excellence Award for blended learning.

·         NIIT (USA) ranked amongst Top 10 Training & Learning Business Process Outsourcing Vendor in – Black Book of Outsourcing.

·         NIIT HiWEL won the prestigious Mac Arthur Digital Media and Learning Award.

·         NIIT USA named in the Top 20 IT Training Companies list by TrainingIndustry.com.

·         NIIT USA won CLO Gold Excellence Award from Chief Learning Officer magazine.

·         NIIT was recognized as Microsoft’s “Learning Solutions Partner of the Year” for the third consecutive year.

·         NIIT Vietnam bagged the ICT GOLD MEDAL, consecutively for the 5th time and ICT TOP 5 for the year 2010.

·         NIIT Cognitive Arts won bronze Brandon Hall Learning Award.

·         NIIT organized 11th IT scholarship in Nigeria to help students make a mark in global IT industry.