CMC: Ups and Downs

R Ramanan

Domestic revenue down from Rs 626 crore in 2003-04 to Rs 603 cr

Education and training business up 52%

Operating profits down 30%, PAT down 45%

This 51% subsidiary of TCS leveraged the parent company’s brand equity to
the hilt, piggybacking to success in the international business. The FY 2004-05
saw CMC’s export revenue share jump from Rs 137.5 crore (18%) to Rs 179.3
crore (23%), with the growth rate improving from 12% in 2003-04 to 30%. However,
the company which has always been considered a strong domestic player, saw
negative revenue growth of 4% in the sector. This, coupled with expenses growing
at a higher rate than revenues and suspension of work from two international
clients had an adverse impact. The BFSI and the government sector continued to
be the mainstay. The year also saw CMC improve its education and training
performance with revenues surging 52%, up from 2.3% in 2003-04 to 3.5%. Systems
Integration division grew at 12%.


l Start-up Year: 1976 l Products & Services:
SI, NI, third-party maintenance, IT training, software development & embedded systems
l Employees: 3,162 l Branches: 10 l Address: PTI Building, 5th Floor, 4 Sansad Marg, New Delhi-110001
l Tel: 23736151 l Fax: 23736159 l Website:

*CMC has not been ranked as the revenues have been included with TCS

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