AGC Networks Announces Audited Results for the Quarter and Year Ended March 31, 2013

MUMBAI, May 29, 2013 /PRNewswire/ --

AGC Networks Limited, (BSE: 500463 and NSE: AGCNET), a global ICT solutions provider and integrator in Unified Communications, Network Infrastructure, Data Centre & Virtualization and Enterprise Applications and a subsidiary of Aegis Limited, an Essar enterprise, today announced audited financial results for Q4 FY 2013 and year ended March 31, 2013.

Key Consolidated Financial & Operational Highlights for Q4 FY 2013 and FY 2013

- Consolidated revenue increased by modest 6% to Rs 1,061 cr in FY 2013 from Rs 998 cr in FY 2012 despite difficult economic environment and challenging market conditions in the form of infrastructure bottlenecks affecting the overall investment climate in India.

- Further the telecom industry was also affected due to the cancellation of the telecom licenses resulting in very low demand from the telecom industry.

- Revenue for Q4 FY 2013 decreased by 6% to Rs 284 cr from Rs 303 cr in Q4 FY 2012.

- The international business environment though competitive provides opportunities in the markets of USA, the Middle East and Africa. The Company is investing in business development in these select markets.

- Stronger foothold in North American market through strategic acquisition of the business of Transcend United Technologies LLC("Transcend"), North America helping augment AGC Networks technology offerings. Transcend provides global IT systems integration focused on Unified communications, Data Center Infrastructure and Managed Services.

- Strategic investments in building capabilities like state-of-the-art Customer Experience Centre in North America, in order to sustain growth momentum. The company incurred initial set up and establishment costs of Rs 27 cr for the year for its foray and business development in the US Market.

- H2'13 witnessed customer wins in key verticals of BFSI, GPD, automobiles and IT/ITes hilghlighting the core expertise of offering integrated technology solutions across quadrants.

- The Profit/(Loss) Before Tax (PBT) for FY13 at is (Rs. 9.9 Cr.) and Profit/(Loss) After Tax (PAT) at (Rs. 21.9 Cr.)

                                                YoY                     YoY
                             FY'13    FY'12  Growth  Q4'13    Q4'12  Growth
    Total Revenue            1,061      998      6%    284      303     -6%

    Reported PBT              (10)       86            (60)      36
    Reported PBT%             (1%)       9%            (21%)     12%

    Adjusted PBT               18        86            (48)      36
    Adjusted PBT%              2%        9%            (17%)     12%

    Reported PAT              (22)       64            (67)      24
    Reported PAT %            (2%)       6%            (24%)     8%

    Adjusted PAT                6        64            (56)      24
    Adjusted PAT %              1%       6%            (20%)      8%
    EPS (in Rs)                (8)       22            (24)       8

Sharing his perspective, Mr. S K Jha, Managing Director & CEO at AGC Networks said, "The current macro-economic scenario has kept services across industries globally in a challenging situation. With our strong focus on building capabilities across key technology segments catering to the customized needs of our customers, AGC Networks as a company will continue to help customers across the globe by introducing innovative solutions."

Mr. Kunjal Mehta, Vice President and Head - Finance, AGC Networks said: "The global economic situation has been uncertain and this has impacted the Indian ICT industry as well. With our continued efforts to optimize costs and control expenditures our challenge going forward is to bring the company back on high growth path and to reap on the investments made to increase the business and profitability."

About AGC Networks:

AGC Networks Ltd. (BSE: 500463 and NSE: AGCNET) is a global solutions integrator in Unified Communications, Network infrastructure, Data Center & Virtualization and Enterprise Applications. We deliver technology based solutions across quadrants and applications that are layered with a spectrum of services to clients in verticals like BFSI, IT/ITes, manufacturing, hospitality and healthcare. These customized business solutions help organizations accelerate revenue growth, increase market penetration, optimize operating costs and improve employee productivity, by embedding technology solutions in their business processes. AGC has always been committed to enabling superior customer experience and offering best returns on their technology investments. AGC partners with global leaders like Avaya, Juniper, NICE Systems, Aspect, Verint, HP, Polycom, Cisco, Microsoft, NEC, Sony, Plantronics, EMC, Dialogic, NetApp, Checkpoint and Jabra among others. AGC Networks is a subsidiary of Aegis Limited, an Essar Enterprise. For more information, visit www.agcnetworks.com [http://www.agcnetworks.com ].

Investor Contacts:

Kashmeera Chhabra, Tel: +91-9930136721

Email: Kashmeera.chhabra@agcnetworks.com

Primary Media Contact: Neelam Kapoor, neelam.kapoor@agcnetworks.com, 91-9819730611

Secondary Media Contact: Mou Chakravorty, mou.chakravorty@2020msl.com, 91-8454042392