RP-Sanjiv Goenka Group-owned BPO firm Firstsource Solutions Ltd is expecting a substantial fillip to its UK operations after signing a 10-year contract with Sky.
Sky is the largest entertainment company in Europe and a provider of DTH, mobile and broadband services in the UK.
“We expect the contract to boost Firstsource’s top-line and bottom-line. Sky could be a game-changer,” said Sanjiv Goenka, Chairman, Firstsource.
The impact on the company’s top-line is expected to come into effect February onwards.
Sources value the contract to be worth around ₹11,000 crore. Goenka, however, refused to peg a value to the contract amount.
Meanwhile, Goenka reiterated that Firstsource was open to acquisitions in the data analytics field.
“We are looking at value additions to the existing operations of the company. And acquisitions could happen in the field of data analytics,” he said.
The BPO firm has already acquired a 21 per cent stake in a Bengaluru-based data analytics company, ‘NanoBi’. This apart, last year it acquired the BPO business of US-based ISGN.
Meanwhile, the company reported nearly 3 per cent rise in consolidated net profit for quarter ending December 31, 2016, to ₹70 crore. Net profit in the year-ago period stood at ₹68 core.
“Profits for the quarter would have been higher had there not been a mark to market loss of ₹14 crore because of currency fluctuations,” Goenka said.
Total income during the quarter under review stood at ₹885 crore (₹819 crore).
According to him, EBIDTA margins stood at 12.7 per cent during the quarter, while the order pipeline – contracts bid for – stood at $360 million.
On Tuesday, the Firstsource scrip closed at ₹39.70, down by 3.99 per cent, on the BSE.