Pune-based mid-tier software development company Persistent Systems is targeting to become a billion-dollar-plus firm in the next three to five years. The company has also stepped up hiring and expansion of its global operations.
Persistent Systems closed the last fiscal with a revenue of $274.06 million at a growth rate of 15.2%. Talking to FE, Mritunjay Singh, the chief operating officer, Persistent Systems, said, “Once we are that size, it would give us a platform to go multi-billion. It is achievable and we plan to do that target in the next three to five years.”
The Persistent COO said achieving the target would depend on the pace of market expansion. He also said that the company is on a hiring mode and expanding its operations.
The software product and services company had reported 5% sequential growth in dollar terms in the second quarter of FY15 and is confident to grow over 15% in the current fiscal. Nasscom, Indian IT industry trade body, has projected the sector to grow 13-15% in FY15.
Singh said he expects the company’s growth in linear terms and is not worried about the profitability as of now as the firm is still making investments.
“This is the time to invest, build capability and create enough levers to grow,” he said.
The company is expanding operations both domestically and globally. It has a presence in the US, France and Malaysia. Persistent Systems would continue hiring global talent and build the brand, said Singh, adding, “we are hiring and expanding fast.”
Persistent, primarily engaged with the independent software vendors (ISVs) for business, has started seeing a a definite shift toward the direct customers.
He said the company has added over 60 direct enterprise clients in its kitty and the deal sizes are also getting bigger. “We are positioning ourselves as a technology company and not a services organisation,” he said.
The software company in its portfolio has an early stage venture capital fund to invest in those companies that are operating in the segments like social, mobile, analytics and colud computing.