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Mahindra Satyam, which earns less than 5 per cent of its revenue domestic market, sees a significant growth curve in India.
“India has not been an attractive destination in terms of price points and deal sizes. Not any longer. Unique identification scheme, Department of Posts and municipal bodies are coming up with large projects. Some of them are as big as international deals with a size of multi-year $100-million,” Mr Vijay Anand, Head of MSat's Corporate Strategy, told Business Line .
Mahindra Satyam is among the four bidders for UID's MSP project.
The company, which has begun a process to vacate rental space and move operations to SEZs, allotted Rs 325 crore on building 40-acre SEZ campus in Chennai.
“We will move some rental space in the city to the facility by the end of third quarter. It could house 7,000-10,000 employees,” Mr T Hari, Chief People's Officer of MSat, said.
Acquisitions
“We are evaluating pay hikes. It will happen in July,” he said, without indicating quantum. The company was also trying to acquire some small companies. “We are not going to rush any buys. We will be very busy with the merger (with Tech Mahindra). But we are in talks with small firms for possible buys. Some deals could happen this year,” he said.
Addressing analysts, Mr Vineet Nayyar, Chairman, attributed the income growth of 7.5 per cent to increase in volumes by 3.5 per cent and currency gains of 1.6 per cent. “The remaining growth happened because of increase in efficiencies in fixed cost projects,” he said.
The company added 12 new accounts during the fourth quarter, taking the total to 230.
Mr Nayyar hoped that the remaining class-action suit pending in the US with Aberdeen could be settled in the next few months. The company was still actively considering filing cases against former promoters.
Mr C.P. Gurnani, Chief Executive Officer, said the company would need 10,000-12,000 additional staff in the next 4-5 quarters.
“It will have a fair mix of freshers and laterals. We will have 40 per cent from engineering and management colleges, with remaining being lateral hiring,” he said.
Customers
The number of customers contributing $10 million grew to 34 in the fourth quarter from 31 in the preceding quarter. In the $20-million segment, the number went up to 12 from 10 and top contributors ($50 m and above) remained the same at three.
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