AGC Networks net zooms 219pc in Q3
PTI | 09:01 PM,Jan 31,2012Mumbai, Jan 31 (PTI) Higher revenues pushed up the net profit of the Essar Group firm AGC Networks by a whopping 219.30 percent to Rs 18.2 crore in the December quarter. "AGC Networks has delivered an excellent quarter with strong growth in revenue and net income. The result reflects our 10 cube growth strategy and our intent of creating profitable growth," AGC Networks managing director and chief executive S K Jha told PTI here this evening. The company had a net income of just Rs 5.7 crore in the December quarter last year. The company is bullish on its 10 cube growth strategy which involves multiple partners Avaya, Dell, Sony, Juniper along with multiple products in different regions, he said. The company's revenues rose 83.16 percent to Rs 241.4 crore from 131.8 crore posted in the same period last year. The company will soon expand its presence to the Americas, and East Africa over the next few months and expects these markets to significantly contribute to revenues. At present, the converged communications solutions provider gets as much as 90 percent of its revenues from the domestic market, while the rest come from regions like the Middle East and Africa, Australia and New Zealand. "The next few quarters should be very good. We intend to launch our North American operations in the first quarter of the next year and that should contribute to our revenues," Jha said, adding the company is not looking at Europe. Last year Avaya sold 59.13 percent stake in AGC Networks to the parent Essar Group for USD44.5 million. Essar completed the acquisition after acquiring another 20 percent of AGC Networks' outstanding shares through an open offer. AGC Networks provides vertical-specific solutions through an array of key alliance partner-led offerings in the space of voice, video, data and info security.
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