In its fourth-quarter reports, IT solutions provider Coforge reported reaching the $1 billion sales milestone. In honor of this historic milestone, the firm is giving everyone of its 21,000 workers an Apple iPad.
“We think that two significant accomplishments throughout the quarter best describe our performance. The first was a 5.0 percent quarterly sequential increase in US dollars. The company passing the USD $1 billion sales threshold was the second significant milestone. According to Coforge's chief executive officer, Sudhir Singh, “Our performance going into FY24 sets us up well to deliver robust growth.”
The celebration would cost Coforge Rs 80.3 crore, according to a report. The company's Q4FY23 earnings decreased from Rs. 244.8 crore in the same quarter previous year to Rs. 116.7 crore. A one-time expenditure of Rs 52.3 crore was the main cause of the fall. The expense was made by Coforge as part of its scaled-back fundraising activities, which were approved in 2021.
Revenues at Coforge increased 24.5 percent year over year to Rs 2,170 crore. The company's banking and financial services division, which accounted for 31% of its revenue, shown resiliency in the face of calamities like the bankruptcy of Silicon Valley Bank and the global financial crisis. The corporation has previously said that its exposure to income from American regional banks was quite small.
In constant currency terms, Coforge anticipates its annual sales projection to range from 13 to 16 percent for FY24. The company forecasts an improvement in gross margin of 50 basis points. Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is anticipated to be at levels comparable to FY 23.
The interim dividend proposal from Coforge's board is Rs 19 per stock. May 9 will serve as the record date for the settlement.
Coforge is not the only business that distributes Apple goods upon a financial milestone. Cognizant Technology Solutions distributed 18,000 iPods to its staff in 2006 after reaching a run rate of $1 billion in annualized sales during the quarter ending in December 2005. A 30 GB Apple iPod was given to each employee. Later, the business utilized the gadget for training as well, providing staff with access to courses that they could download onto their iPods and then study at their own leisure.