3i Infotech to set up BPO subsidiary

3i Infotech, one of India's largest software products companies, is setting up a wholly-owned business processing outsourcing (BPO) subsidiary, which will provide end-to-end business process services to the banking, financial, insurance and telecommunications sectors in India.

All the company's BPO businesses would be managed through this subsidiary, the firm said in a statement to the Bombay Stock Exchange.

"The BPO subsidiary would enable us to offer the complete range of business process services to our clients and leverage the growth opportunity in BPO, which is experiencing a new upsurge of activity in the domestic market," 3i Infotech Ltd executive director and president, South Asia, Anirudh Prabhakaran said.

The company's BPO subsidiary would offer a wide range of services, including organisaton and data processing, staffing, payment & cheque processing, and human resource services.

3i Infotech is one of India's leading IT companies and among the top four Indian software products companies. The company services customers in over 50 countries across 5 continents.

In April, 3i Infotech entered into an agreement to acquire JP Morgan Treasury Services' national retail lockbox business (NRLB) through its US subsidiary, Regulus Group.

3i Infotech's fourth quarter revenue rose 73.4 per cent to Rs610.61 crore from the corresponding quarter of the previous year.

Profit before interest depreciation & tax (PBIDT) grew by 60.2 per cent to Rs122.88 crore.

Profit after tax stood at Rs92.61 crore, including exceptional items of Rs25.96 crore (net), and Rs66.65 crore excluding exceptional items, recording a growth of 32.7 per cent over the previous year.

For the full year, the company registered revenue of Rs2304.70 crore, representing a YoY growth of 88.4 per cent. Profit before interest depreciation and tax (PBIDT) grew by 66 per cent to Rs453.48 crore.

Profit after tax stood at Rs292.38 crore, including exceptional items of Rs25.96 crore (net) and Rs266.42 crore excluding exceptional items, recording a growth of 45.4 per cent over the previous year.