Hyderabad: City-based tech firm Cyient on Thursday reported a 29.7 per cent drop in net profit at Rs 65.9 crore for the March quarter, due to a one-time payment of Rs 84.3 crore. Excluding the one-off item, net profit was 10.1 per cent lower at Rs 84.3 crore in the reported quarter. Its net profit in the year ago period was Rs 93.8 crore.
Commenting on the results, Mr Krishna Bodanapu, MD and CEO of Cyient, said: “FY16 was a challenging year for Cyient. The core business of the company consisting of the engineering and DNO operations was flat. Margin in these businesses increased during the course of the year by one per cent. In addition to revenue growth in the core business, we faced significant headwinds in some of the investments we made. As a result of these challenges FY16 was a disappointing year.” The Cyient MD and CEO, however, expressed confidence about the new fiscal. “Our pipeline and backlog are higher than they have ever been... Overall, margins will also improve by 1.5 per cent,” he said.
