Sparsh BPO Services Ltd Quarterly net profit down at Rs.1.16 Crores

Sparsh BPO Services Ltd has announced the UnAudited Financial Results for the quarter ended June 30, 2007.

The Company has posted a profit after taxes of Rs.11.68 million for the quarter ended June 30, 2007 where as the same was at Rs.27.67 million for the quarter ended March 31, 2007. Total Income is Rs.314.67 million for the quarter ended June 30, 2007 where as the same was at Rs.264.23 million for the quarter ended March 31, 2007.

The company reported an Earnings Per Share (EPS) of Rs.0.72 for Quarter ended June 30, 2007 compared to Rs.1.71 reported during Quarter ended March 31, 2007.

The company has taken a foreign currency loan from a bank. The exchange fluctuation gain arising out of translation of foreign currency loan as at the quarter-ended, in accordance with the requirements of Accounting Standard (AS) 11 (Revised 2003). "The Effects of Changes in foreign exchange Rates" amounts to Rs 59,018,785. The Company has also entered into a structured hedging deal to cover the foreign exchange exposure in respect of the aforesaid loan. In absence of any mandatory accounting pronouncements in India, for accounting of hedging transactions, the Company has not recognized the exchange fluctuations as at the year end in respect of the said hedging contact. The Company believes that, both these adjustments are offsetting in nature and as a matter of prudence has continued to not account for the aforesaid exchange fluctuation gain.

The Company got listed on March 26, 2007, accordingly, the figures for the corresponding quarter of the previous year have not been given.

Source : Equity Bulls

Keywords