Infotech Lead India: BPO major iGate has added 750 employees in Q1 2013. The net addition of BPO employees is significant as iGate had added only 11 employees in Q4 2012.
The BPO company said its employee base increased to 28,204 in the first quarter of 2013 from 27,554 in Q4 2012 and 27,543 in Q3 2012.
The increase in employees is happening at a time when iGate is facing probe relating to employees in Canada.
The Globe and Mail reported that the Canada government is looking into an outsourcing arrangement between RBC and iGate, after allegations surfaced that the bank was replacing Toronto employees with foreign workers, partly via an immigration program. The outsourcing move affects 45 jobs, with some of that work moving to India.
Meanwhile, iGate on Thursday said it added 10 new customers (six are Fortune 1000 companies) in Q1 2013 against 14 new customers (seven Fortune 1000 companies) in the fourth quarter.
The world’s first technology and operations (iTOPS) firm providing consulting, technology and business process outsourcing, and product and engineering solutions on a Business Outcomes-based model said its revenues for first quarter of 2013 increased 4 percent to $274.9 million from $263.3 million in the first quarter 2012.
Net income for first quarter 2013 increased 44 percent to $34.8 million from $24.1 million in the first quarter 2012.
iGate said gross margin was 38.1 percent for the first quarter 2013 compared to 40.2 percent in the corresponding quarter in 2012.
Phaneesh Murthy, CEO, iGate, said: “We have made significant investments in sales, marketing and branding in our markets. The pace at which we are adding quality new clients is satisfying.”
Recent Client Wins
An Insurance carrier in the U.S listed in the Fortune 500 category chose iGate as a third party administrator (TPA) of its claims operations. As part of this integrated technology and operations (iTOPS) deal, iGate will be responsible for the customer’s entire claims operations, IT applications and infrastructure and provide TPA services on its platform, where the client will pay on a per-policy-per-month model.
iGate has been engaged by a financial services provider in Europe to assist it in reducing its operating costs. As part of the engagement, iGate will focus on simplifying this company’s IT environment by consolidating multiple platforms at a global level and implementing newer technologies designed to reduce IT investments by the client and increase operational efficiency.
A luxury apparel and footwear company in North America that designs and sells upscale footwear and accessories internationally engaged iGate to optimize the company’s worldwide IT landscape. As part of the engagement, iGate will provide integrated IT and business aligned services using proprietary platforms and cloud based solutions designed to make the IT environment scalable and IT costs variable.
iGate has also been selected by a food wholesaler in Europe to assist the company in achieving operational efficiency after a recent acquisition of a retailer. As part of this engagement, iGate will focus on enterprise systems consolidation that includes separation and migration of several disparate systems into a unified system.
A Fortune 500 company in the U.S. providing engineering and construction services for commercial and government clients globally, engaged iGate to improve the company’s operational efficiency and increase profitability by consolidation of IT applications. As part of the engagement, iGate will integrate IT services and facilitate upgrading of IT platforms on a global delivery model.