For the full year, net profit was up 16.1 percent to Rs 429.6 crore, while revenue was higher by 8.6 percent to Rs 3,917.5 crore as compared to the previous fiscal.
Cyient Ltd rallied as much as 9.4 percent in morning trade on Friday, a day after the company reported 16.2 percent year-on-year (YoY) rise in net profit at Rs 121.5 crore for the quarter ended on March 31, 2018, compared to the year-ago period.
The Hyderabad-based company had posted a net profit of Rs 104.6 crore in the corresponding quarter a year ago, Cyient said in a statement.
Its revenue increased 12.8 percent to Rs 1,061.8 crore in the said quarter against Rs 941 crore in the year-ago period.
For the full year, net profit was up 16.1 percent to Rs 429.6 crore, while revenue was higher by 8.6 percent to Rs 3,917.5 crore as compared to the previous fiscal.
“Cyient delivered strong revenue growth in 4QFY18 but disappointed on the margin front, but the management remains optimistic about Cyient’s growth prospects and has guided for double-digit growth in core IT services and 35 percent YoY growth in DLM,” HDFC Securities said in a note.
“However, flat margin guidance for FY19E came in as a disappointment. The company will make investments in platforms, ML led data extraction tools which will fuel growth but will impact margins,” it said.
However, the domestic brokerage firm maintains a buy rating on the stock with a target price of Rs755.