80% IT firms report strong profits as tech services demand growing fast

At least 80 per cent of information and technology firms witnessed their business thriving in the first nine months of the fiscal year 2022-23, thanks to a growing demand for tech and software services as well as higher internet usage in the country.

Out of the 11 firms listed with the capital market, 1o disclosed their latest quarterly financial reports, with eight companies reporting strong July-March profits.

On the other hand, two firms recorded a decline in their profits, while the remaining one did not publish the latest quarterly financial statement until now.

Aamra networks Ltd, which provides state-of-the-art tech solutions, saw its profit growing by 164 per cent to Tk 20.14 crore in the July-March period of the fiscal 2022-23 on a year-on-year basis, as per its unaudited Q3 financial statement. Its earnings per share (EPS) jumped to Tk 3.25 for the July-March period of FY23 from Tk 1.23 for the same period last fiscal.

The company’s revenue also swelled owing to the growing demand for IT and software services, as well as higher internet sales. As a result, its earnings increased significantly in the period, Syed Moniruzzaman, company secretary of Aamra networks Ltd told The Business Post.

ADN Telecom Limited, another leading company in the DSE’s IT sector, posted an impressive year-on-year profit growth in the first nine months of the current fiscal year. The company’s profit in the first nine months of FY23, jumped by 71 per cent to Tk 19.55 crore, up from Tk 11.41 crore in the same period last year.

In the January-March quarter, the firm’s consolidated net profit stood at Tk6.59 crore, while the consolidated earnings per share were Tk 1.02.

From July to March, its consolidated earnings per share stood at Tk 3.03. The company’s consolidated net asset value per share was Tk 29.62 as on March 31 this year.

AND Telecom company secretary Md Monir Hossain told The Business Post, “Our profits grew significantly so far in the current fiscal owing to the expansion of the overall business, and the introduction of new products and services.”

Listed IT firm Agni Systems’ net profit rose by 22 per cent to Tk 6.94 crore in the first nine months of the current fiscal year.

IT Consultants Limited, another tech firm, saw its profit increased by 26 per cent to Tk 22.5 crore at the end of the first three quarters of the fiscal year 2022-23.

Meanwhile, Daffodil Computers posted Tk 2.87 crore in net profit in the first three quarters of the current fiscal year, which was Tk 2.65 crore in the same period last fiscal year.

eGeneration Limited’s net profit rose by 2.27 per cent to Tk 9 crore in the July-March period of FY23.

Its earnings per share (EPS) of Tk 1.18 for the first nine months of FY23 was also higher than the EPS of Tk 1.03 for the same period of the last fiscal year.

The company also posted a 5 per cent increase in its earnings in the third quarter ended on March 31, 2023, on a year-on-year basis.

Genex Infosys Limited, a pioneer of the country’s tech sector, made a profit of Tk 38.21 crore in the July-March period of FY23, up 4.1 per cent from Tk 36.71 crore for the same period a year back.

The publicly traded company’s profit was Tk 8.57 crore in the January-March quarter of the current fiscal year, an increase of 13.80 per cent from that a year earlier.

The business process management and IT services company had recorded Tk 7.53 crore in net profit in the January-March quarter of the fiscal 2021–22.

The company’s consolidated earnings per share (EPS) were Tk 0.74 for January–March of the fiscal 2022–23, compared to Tk 0.65 for the same quarter a year earlier, according to its unaudited financial statements.

BDCOM Online Ltd posted a net profit of Tk 6.63 crore in the first nine months of the current fiscal year, compared to the profit of Tk 6.44 crore in the same period last year.

On the other hand, Aamra Technologies Limited and Information Services Network Ltd suffered negative profit growth in the July-March period of the fiscal 2022-23.

Intech Limited is the lone company that failed to publish its latest quarterly financial report in due time.