iGATE Q2 revenue up 6% to $283.3 million

BPO major iGATE on Wednesday said its second quarter revenue rose 6 percent to $283.3 million. Its net income increased 136 percent to $30 million in Q2, 2013.

iGate, whose CEO Phaneesh Murthy stepped down due to allegations, said gross margin was 37.9 percent against 37.4  percent in the corresponding quarter of 2012.

iGATE added 11 new customers during the quarter including two Fortune 1000 companies.

The company has over 28,300 employees.

“We booked orders worth over $600 million including three significant multi-year contracts each valued at $100 million or greater,” said Gerhard Watzinger, CEO, iGATE.
“We are seeing more positive signs related to offshore IT services spending and stability in the overall business environment, with clients spending to their budgets,” he added.

Earlier in the day, Gartner said the global IT outsourcing market is likely to grow 2.8 percent to $288 billion in 2013. Constrained IT budgets, evolving ITO delivery model, economic conditions and cost-focused buyers are limiting the growth potential of IT outsourcing market.

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