WESTBOROUGH, MA–Virtusa Corporation, a global business consulting and IT outsourcing company, said that its revenue for the first quarter of fiscal 2017, ending on June 30, reached $205.5 million, an increase of 19.6% sequentially and 52.4% year-over-year.
Virtusa reported GAAP loss from operations of $1.8 million for the first quarter of fiscal 2017, compared to income from operations of $5.5 million for the fourth quarter of fiscal 2016 and income from operations of $12.4 million for the first quarter of fiscal 2016.
On a GAAP basis, net loss for the first quarter of fiscal 2017 was $6.3 million, or $(0.21) per diluted share, compared to net income of $12.3 million, or $0.41 per diluted share, for the fourth quarter of fiscal 2016, and net income of $10.1 million, or $0.34 per diluted share, for the first quarter of fiscal 2016.
Non-GAAP income from operations, which excludes stock-based compensation expense and acquisition related charges, was $7.7 million for the first quarter of fiscal 2017, compared to $21.8 million for the fourth quarter of fiscal 2016, and compared to $18.2 million for the first quarter of fiscal 2016.
The Company ended the first quarter of fiscal 2017 with $207.9 million of cash, cash equivalents, and short-term and long-term investments.
Ranjan Kalia, Chief Financial Officer of Virtusa, said, “First quarter results were in line with our expectations as the combined company executed against our Q1 plan. Our revised fiscal 2017 guidance reflects isolated delays in decision making and new project starts across our Insurance, Telecom and Banking clients, as well as increased currency headwinds from a weaker British Pound.”
Virtusa management provided the following current financial guidance:
- Second quarter fiscal 2017 revenue is expected to be in the range of $206.5 to $211.5 million. Non-GAAP diluted EPS is expected to be in the range of $0.26 to $0.30. GAAP diluted EPS is expected to be in the range of $0.01 to $0.05.
- Fiscal year 2017 revenue is expected to be in the range of $850 to $870 million. Non-GAAP diluted EPS is expected to be in the range of $1.58 to $1.72. GAAP diluted EPS is expected to be in the range of $0.61 to $0.75.
