NIIT records PAT of Rs. 15 crore on the back of steady growth in Corporate Learning Group and successful Business Transformation of the Skills & Careers Group
Q1 (April - June 2015)
Consolidated Financials at a Glance
(in Rs Cr)
June 30, 2014
June 30, 2015
New Delhi, July 17, 2015:
global leader in skills and talent development, today reported its results for the first quarter ending June 30, 2015. In this quarter, the company recorded Net Revenue of Rs 233.2 Cr with a PAT of Rs 15 Cr. The Operating Margin stood at 7% up 135 bps YoY.
The results were taken on record at the meeting of the Board of Directors here today.
Speaking on the Company's performance during the quarter,
Mr. Rahul Patwardhan,
Chief Executive Officer, NIIT Limited said,
"On the back of continued and steady growth in our Corporate Learning Group and successful Business Transformation of the Skills & Careers Group, NIIT is back to growth and profitability."
During the quarter, NIIT launched an aggressive brand positioning campaign –
'The Place to go Places', to reposition itself as an organisation that is much beyond IT training, offering new-age courses across multiple industry sectors, to chart exciting career opportunities in the global economy.
Commenting on NIIT's next big opportunities in the skills and talent development space,
Mr. Vijay Thadani, Vice Chairman & Managing Director, NIIT Ltd. said,
"The recent announcements by the Government of India, on Skill India & Digital India, will enable mass scaling of skill development, using technology as a delivery mechanism. NIIT is well poised to harness this opportunity as its already using Cloud Campus and Synchronous Learning Technology to reach thousands of students across multiple industry segments, across India."
Corporate Learning Group (CLG) recorded net revenue of Rs 128.5 Cr, up 15% YoY, maintaining a robust operating margin of 12%. This was backed by a strong growth in its MTS (Managed Training Services) offerings, which now contributes 89% of CLG revenues.
Mr. Sapnesh Lalla, Group President, Corporate Learning Group,
NIIT Limited said,
"During the quarter, NIIT's Corporate Learning bagged 5 large multi-year, annuity based contracts, taking the overall CLG revenue visibility to USD 201.5 Mn".
During the quarter, NIIT bagged a contract to provide managed training services to Statoil, ASA, a Norwegian multinational oil and gas company, headquartered in Stavanger, Norway. NIIT's Corporate Learning Group will provide comprehensive managed training services for a period of ten years, renewable after the first five years.
Skills and Careers Group (SNC) recorded net revenue of Rs. 72.5 Cr during Q1.
Speaking on the Company's strategy to strengthen its Beyond-IT offerings,
Mr. Shivan Bhargava, Group President, Skills & Careers Group, NIIT Limited said,
"Beyond-IT revenue share grew to 39% of SNC revenues in the first quarter, thus reaffirming our conviction on the market potential of such offerings".
"Further, we commit to leverage the enabling ecosystem following the launch of 'Skill India', by training 10 million young learners across 16 industry segments over the next five years.", added Mr. Bhargava.
NIIT Institute of Finance Banking & Insurance Training Ltd (IFBI), NIIT University and DHFL entered into a tripartite Memorandum of Understanding (MoU) to launch a one-year Post Graduate Program in Financial Services. The program will offer graduates in tier II and tier III cities career opportunities in India's promising housing finance sector.
In a significant development, NIIT signed an agreement with Guian New Area in the Guizhou province of China, to offer programs in new-age IT, with special focus on Big Data. The agreement was formalized during the visit of Hon'ble Prime Minister of India, Mr. Narendra Modi, to China. Through this tie-up, NIIT will work towards realizing China's vision to promote Guian as the country's national hub for the Big Data industry
NIIT's vocational skills training initiative -
NIIT Yuva Jyoti Limited, established in partnership with National Skill Development Corporation (NSDC) continued to gain momentum, expanding its reach to over 215 locations.
During the quarter, NIIT Yuva Jyoti enrolled students under the pilot phase of Pradhan Mantri Kaushal Vikas Yojana (PMKVY), across three sectors – Telecom, Retail & IT in North East, Jammu &Kashmir and Jharkhand. PMKVY Scheme is a flagship scheme of the Ministry of Skill Development and Entrepreneurship (MSDE), implemented by National Skill Development Corporation (NSDC).
NIIT Yuva Jyoti and Rotary International District 3010 felicitated the first batch of successful students' who were trained for four months in Data Entry Course along with soft skills, personality development and ICT Skills. Rotary International District 3010 & NIIT Yuva Jyoti had earlier entered into a partnership in August 2014, to enhance livelihood of youth from less privileged sections of the society and help them to build ambitious careers by opting for programs that suit their aptitude.
School Learning Group (SLG) registered a net revenue of Rs 32.2 Cr during the quarter, maintaining an Operating margin of 6%.
During the quarter, five-time World Champion and NIIT MindChampion Viswanathan Anand inaugurated state-of-the-art computer lab with NIIT Nguru–IT Wizard Plus, at Sri Prakash Vidya Niketan, Rajahmundry -- showcasing a futuristic approach, by integrating 21st century skills into the teaching methodology.
Established in 1981, NIIT Limited, a global leader in Skills and Talent Development, offers multi-disciplinary learning management and training delivery solutions to corporations, institutions, and individuals in over 40 countries. NIIT has three main lines of business across the globe- Corporate Learning Group, Skills and Careers Group, and School Learning Group.
NIIT's Corporate Learning Group (CLG) offers Managed Training Services (MTS) to market-leading companies in North America, Europe, Asia, and Oceania. The comprehensive suite of Managed Training Services includes custom Curriculum Design and Content Development, Learning Administration, Learning Delivery, Strategic Sourcing, Learning Technology, and Advisory Services. With a team of some of the world's finest learning professionals, NIIT is dedicated to helping customers increase the business value of learning and development (L&D). Built on the sound principles of 'Running Training like a Business', NIIT's Managed Training Services and best-in-class training processes enable customers to align business goals with L&D, reduce costs, realise measurable value, benefit from rock-solid operations, and increase business impact.
NIIT's Skills and Careers Group (SNC) delivers a diverse range of learning and talent development programs to millions of individual and corporate learners in areas including Banking, Finance & Insurance, Soft Skills, Business Process Excellence, Retail Sales Enablement, Management Education, Multi-Sectoral Vocational Skills, Digital Media Marketing, and new-age IT. These programs are delivered through a hybrid combination of the 'Cloud Campus' online platform, satellite-based 'Synchronous Learning Technology' and a physical network of hundreds of learning centers in India, China, and select markets in Asia & Africa. The flagship multi-disciplinary course offerings include the industry-endorsed RevGNIIT program and a set of Post Graduate Programs for students from different streams, apart from a wide range of specialist short duration programs.
To further strengthen its SNC portfolio in India, NIIT has tied up with industry majors like ICICI Bank for NIIT Institute of Finance Banking Insurance & Training Limited, IFBI; leading business schools in India for NIIT Imperia; Genpact for NIIT Uniqua; and a joint venture with NSDC for NIIT Yuva Jyoti Limited. Besides this, for the China market, NIIT has tied up with governments and software parks in Guian, Chongqing, Wuxi, Suzhou, Changzhou, Zhangjiagang, Haikou and Dafeng, for state-of-the-art public-private partnership centres.
NIIT's School Learning Group (SLG) has been providing technology based learning to over 15,000 government and private schools in India, Bhutan, South Africa and the Middle East. The futuristic NIIT nGuru range of learning solutions for schools comprises Interactive Classrooms with digital content, technology-driven Math Lab, IT Wizard programs and Quick School - an Education Resource Planning software.
As the Most Trusted Brand in India for 3rd year in a row (Brand Trust Report, 2015), NIIT's learning and talent development solutions, continue to receive widespread recognition globally. NIIT has been named among the Top 20 Training Outsourcing Companies for the past seven consecutive years by Training Industry, Inc. USA. Further, leading Indian ICT journal Dataquest has conferred upon NIIT the 'Top Training Company' award successively for the past 20 years, since the inception of this category. NIIT Yuva Jyoti Ltd was recognized as the Best Vocational Education and Skill Development initiative at the World Education Summit, 2014.
For media queries, please contact:
Vice President, Corporate Communications & Marketing, NIIT Limited
Ph: (Cell) +91 9910201085, (Dir) +91 124 4293041
Sumana Bhattacharya/ Puja Shalini
Ph: (Cell) +91 9810597176/ 9654850909
Investors may contact:
Kapil Saurabh, NIIT Limited, Ph (Cell) +91 9899117793, (Dir) +91 124 4293324
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