The Hindu Business Line : Sonata Q4 net down 19 pc; to pay 30% final

SONATA Software Ltd's net profits for the quarter-ended March 31, 2004 fell 19.6 per cent to Rs 3.31 crore compared to a net of Rs 4.12 crore in corresponding period last year. Sales revenues also declined 4.69 per cent to Rs 20.3 crore (Rs 21.3 crore).

The company on Monday declared a final dividend of 30 paise per share (30 per cent on par value of Re 1 each). This, together with the interim dividend makes the total dividend for the year to 50 paise per share (50 per cent on par value of Re 1 each).

On sequential basis Sonata's revenues grew by 21.5 per cent over previous quarter. Net profits increased 15.73 per cent.

However, for the year-ended March 31, 2004 revenues fell 15.54 per cent to Rs 71.41 crore over previous year's Rs 84.5 crore. Net profits also declined by 26.9 per cent to Rs 11.38 crore (Rs 15.57 crore).

The company added 22 new clients during the quarter. It also increased its headcount by adding 119 employees, an increase of 18 per cent over the previous year. Sonata drew 41 per cent of its revenues from the US, 58 per cent from Europe and one per cent from the rest of the world.

Commenting on the results, Mr B. Ramaswamy, President and Managing Director, said, "t has been a year focussed on establishing a strong customer base. We have been successful in adding new customers who have the potential for a significant scaling up. Equally, the existing customers have plans for increasing the volume of offshoring. The third development centre in Bangalore will be operational in the first quarter."