IIS Group Slow Growth

The IIS Group was not able to keep in

tune with the changing times. Though it broke into DQ Top 20 software exporters

ranks with Rs 162 crore software exports in the last fiscal, the overall

performance of the group was far from satisfactory. Revenue figures covered

those of IIS Infotech, IIS Inc and IIS, with the IIS Group holding 100% in all

of them. Of these, IIS Infotech, at Rs 108 crore, contributed 60% of the total

turnover, while IIS Inc contributed 30% with Rs 52 crore and IIS shared 11% with

Rs 20 crore.

Overall,

the company was able to grow only by 14%. It clocked a turnover of Rs 179 crore

in the last fiscal as compared to Rs 157 crore in the previous year. Software

exports grew by 15%, while domestic revenues went up by 3% only. Software

exports contributed 90% of the total revenue, while the domestic market took

care of the remaining fraction.

Looking

at the segment-wise revenue, packaged software, which consisted of IFS and

Cognos, contributed a mere Rs 2 crore, barely 1% of the total turnover. Services

constituted the largest chunk at 91% through a contribution of Rs 162 crore

while education garnered Rs 15 crore, an 8%

of the group’s turnover.

The company increased its marketing

focus on the European markets, including the UK. It was also able to make

inroads into Germany. Apart from Europe, the company set up a support office in

the US as well.

The IIS Group will be setting up a marketing office in

Australia. It also plans to harness the domestic market and has struck a

partnership with Ecosoft, the software subsidiary of the Escorts Group, for

marketing and implementing its ERP package, IFS. DQ

Fact Sheet

START-UP YEAR: 1989 PRODUCTS AND SERVICES: Software

development, consultancy, training EMPLOYEES: 1,033 BRANCH OFFICES: 7 DEALER

OUTLETS: 150 ADDRESS: C-2, Sector-1, Noida 201 301 TEL: 454 8601-608 FAX: 454

1739 WEBSITE: www.iisinc.com