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ITIL net up 92%

Our Bureau

NEW DELHI, June 20

THE Delhi-based Information Technology India Ltd (ITIL) has recorded a 92 per cent jump in its net profit at Rs. 70.3 crores for 1999-2000 as against Rs. 36.52 crores in the previous fiscal.

During the year, the turnover of ITIL shot up by 93 per cent to Rs. 237.23 crores (Rs. 123.46 crores). Earnings per share stood at Rs. 10.12.

Announcing the audited financial results here on Tuesday, the Chairman and CEO, Mr. Vinay Rai, said the board of directors of ITIL has recommended a 10 per cent dividend for the year. This works out to 50 paise per share, of which the face value is Rs. 5 .

Other income during the period stood at Rs. 5.19 crores (Rs. 72.11 lakhs). Profit before tax was Rs. 70.31 crores (Rs. 36.53 crores).

Mr. Rai said ITIL had spun off one of its product divisions, `palmgreetings.com', into a separate subsidiary during the year. ``We are now planning an aggressive marketing of palmgreetings.com in the US...We are also looking for strategic alliance there, '' Mr. Rai said.

On the future strategy of ITIL, Mr. Rai said the company would soon launch an array of 21 portals under the `India i2i' brand. ``We plan to set up cyber dhabas in about 5,000 villages in this year through franchisee route as part of this business. We wil l invest Rs. 40-50 crores in this venture,'' he said.

ITIL has also obtained a national Internet service provider (ISP) licence. Service will be launched in the near future in 11 cities in the North, before expanding to over 200 cities across the country.

A total investment of Rs. 100-150 crores has been earmarked for this project, Mr. Rai said, adding that the money would mainly come from internal accruals and through private placement of a small portion of equity.

The company has also identified mobile computing as a key area of growth and profitability for the future. Besides, ITIL's education division would also be given a major thrust by launching online integrated e-learning initiatives, he said.

``We will set up 100 franchises all over the country by the end of this year for our education business. We are also planning to set up around 1,000 small education centres in semi-urban and rural areas,'' Mr. Rai said.