OREANDA-NEWS. December 11, 2013. IBS Group Holding Limited (IBSG:GR; IBSGq.DE), a leading software developer and IT services provider in Central and Eastern Europe, announced its preliminary unaudited operating results for the second quarter and six months ended September 30, 2013 (2Q and 1H FYE March 31, 2014).

1H FYE March 31, 2014 highlights

Consolidated revenues for the first half of FYE March 31, 2014 amounted to USD373.6 mn, a decrease of 1.1% y-o-y.

Revenues in the IT Services segment came to USD158.9 mn, down 20.9% y-o-y. The segment’s revenues in RUB amounted to 5,150 mn, a decline of 19% y-o-y.

Revenues in the Software Development segment amounted to USD 181.4 mn, up 25.0%.

Group revenues generated in Europe and North America amounted to USD172.4 mn and now account for 46.2% of consolidated revenues against 25.5% a year ago.

Our headcount reached 9,509, as we added 700 IT professionals on a net basis over the course of the year.

Total debt amounted to USD80.5 mn, an increase of USD 13.1 mn y-o-y. We accumulated a net cash position of USD13.6 mn mostly due to the successful placement of Luxoft shares on NYSE in June 2013.

Anatoly Karachinsky, President of IBS Group, commented:
"Our results in the first half of the year reflect mixed market environment for the Group’s primary segments. Our Software Development segment, which reported one of the best second quarters and best half year results in its history, is growing rapidly, capitalizing on the current technological trends and successfully developing a pool of high-potential clients, tapping demand for IT outsourcing in the financial and automotive industry verticals and investing into the existing solutions. Our IT Services segment is facing a tough domestic IT market where corporate clients are scaling back investments, including launch of large-scale IT projects, amid uncertainties prevailing in the economy. This is particularly true for our business applications line, while performance of our infrastructure line is well within our expectations.”

About IBS Group Holding Limited
IBS Group is a leading software development and IT services provider in Central and Eastern Europe. Through its two principal subsidiaries, Luxoft and IBS IT Services, it offers a wide variety of information technology services, such as software development and IT services outsourcing, IT infrastructure and business applications implementation. IBS Group has business operations in Russia, Ukraine, Romania, Poland, Germany, Switzerland, the UK, the USA, Vietnam and Singapore. IBS Group employs more than 9,500 people worldwide. In the year ended March 31, 2013, the Group reported US GAAP consolidated revenues of USD 870.3 million. IBS Group's Global Depositary Receipts are listed on the Regulated Market (General Standard) at the Frankfurt Stock Exchange (Bloomberg: IBSG:GR; Reuters: IBSGq.F)