Mumbai, Oct 27: Tata Infotech Ltd has registered a 35 per cent fall in net profit at Rs 16.52 crore for the first six months of 1999-2000 from Rs 25.40 crore in the corresponding period last year. The total income decreased in this priod by 1.6 per cent to Rs 204.22 crore against Rs 207.55 crore in the corresponding period of the previous year.In the second quarter ended September 30, 1999, the net profit dipped by 43.8 per cent to Rs 7.22 crore from Rs 12.85 crore in the corresponding quarter last year while the net sales fell to Rs 100.23 crore from Rs 103.27 crore, registering a drop of 2.94 per cent.
Tata Infotech managing dirctor Nirmal Jain said in a press release that the company had initiated a series of measures to reverse the decline in revenue and profits witnessed in the first half of the current fiscal. He attributed the decline to a decrease in year 2000 service earnings.
The company is planning to strengthen its overseas marketing facilities to gain larger inernational customer base and restructring its existing lines of business to reduce costs and enhance profitability. However, it said that the effect of these steps will be visible only in the last quarter of the current fiscal.
The company expects to achieve Y2K compliance by the end of November at a cost of Rs 3.50 crore.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.