Syntel reports fourth quarter 2015 financial results

New Delhi, Feb. 19 (ANI-Businesswire India): Syntel Inc., a global provider of digital transformation, information technology and knowledge process services to Global 2000 companies, today announced financial results for the fourth quarter and full year, which ended on December 31, 2015.

Syntel’s revenue for the fourth quarter increased eight percent to 254.6 million dollar from 235.3 million dollar in the prior-year period, and 0.4 percent from 253.6 million dollar in the third quarter of 2015.

During the fourth quarter, Banking and Financial Services accounted for 50.3 percent of total revenue, with retail, logistics and telecom at 16.4 percent, healthcare and life sciences at 16.4 percent, insurance at 12.4 percent and manufacturing at 4.5 percent.

The company’s gross margin was 41.8 percent in the fourth quarter, compared to 41.4 percent in the prior-year period and 42.4 percent in the third quarter of 2015.

Selling, General and Administrative (SG&A) expenses were 11 percent of revenue in the fourth quarter, compared to 10.2 percent in the prior-year period and six percent in the previous quarter.

The fourth quarter income from operations was 30.8 percent of revenue as compared to 31.2 percent in the prior-year period and 36.5 percent in the third quarter.

Net income for the fourth quarter was 74.2 million dollar or 0.88 dollar per diluted share, compared to 70.7 million dollar or 0.84 per dollar diluted share in the prior-year period and net income of 77.7 million dollar or 0.92 dollar per diluted share in the third quarter of 2015.

Revenue for 2015 increased six percent to 968.6 million dollar, from 911.4 million dollar in 2014.

The company’s 2015 operating margin was 29.3 percent, compared to 29.4 percent in 2014. Net income for the year was 252.5 million dollar compared to 249.7 million dollar in 2014.

EPS for 2015 increased to 3.00 dollar per diluted share from 2.97 dollar per diluted share in 2014.

During 2015, Syntel spent 17.0 million dollar in CAPEX, largely in support of campus infrastructure and finished the year with cash and short-term investments of 1.04 billion dollar.

The company added 23 new clients during the year and ended 2015 with 24,537 employees globally.

“Despite interruptions to our operations in Chennai, our teams demonstrated Syntel’s unwavering commitment to our customers, reinforcing and strengthening relationships as the year concluded on a solid footing,” said Syntel CEO and President Nitin Rakesh.

“Customers’ interest in digital initiatives remains high and we are focused on helping them realize their goals while optimizing the investment required,” said Rakesh.

“Our thought leadership in digital modernization powered by SyntBots recursive automation platform promises to help customers realize the true benefits of ‘going digital’,” he added.

Based on current visibility levels and an exchange rate assumption of 68 Indian rupees to the dollar, the company currently expects 2016 revenue of $1,025 million to 1,065 million dollar and EPS in the range of 2.75 dollar to 3.00 dollar.

Syntel will discuss its fourth quarter 2015 results today on a conference call at 10:00 a.m. (EST).

To listen to the call, please dial (877) 837-3915 in the US/Canada or (973) 638-3495 internationally. The call will also be broadcast live via the Internet at Syntel’s web site: Please access the site at least 15 minutes prior to the call to register and download any necessary software. A replay will be available until February 25, 2016 by dialing (855) 859-2056 and entering “42543698”. International callers may dial (404) 537-3406 and enter the same passcode.

Syntel (Nasdaq:SYNT) is the global leader in digital modernization services, with a core suite of automation-driven IT and knowledge process services. Syntel helps global enterprises thrive in the Two-Speed World™ by building agile, efficient technology infrastructures that blend legacy business models with disruptive digital innovations. Syntel’s recursive automation platform,

This news release may include forward-looking statements, including those with respect to the future level of business for Syntel, Inc. These statements are necessarily subject to risk and uncertainty. Actual results could differ materially from those projected in these forward-looking statements as a result of certain risk factors set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2015 or from other factors not currently anticipated. (ANI- Businesswire India)

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