Outsourced Publishing Services: Financial Prudence Critical For Survival
Pure-play Indian publishing service providers have seen a revenue decline of 34% in the past two years - In 2011, the revenue of large-sized service providers dropped to less than half of that in 2009
Pune, Maharashtra (I-Newswire) September 25, 2012 - - Pure-play Indian publishing service providers have seen a revenue decline of 34% in the past two years
- In 2011, the revenue of large-sized service providers dropped to less than half of that in 2009
- Knowledge Global Limited topped the service provider evaluation ranking in 2011, showing strong financial credentials across parameters
- Other companies that have stood out for their financial performance are Altivolus Infotech, Integra, Quadrum, and KiwiTech
Since 2008, providers of outsourced publishing services in India have been adversely affected by the global economic crisis. The impact is evident in their financial performance, which has deteriorated over the last couple of years from the pre-crisis highs. The gloomy economic forecast for the next few years has made financial prudence even more critical. The future existence and success of companies in this industry will be greatly influenced by their financial management during these difficult times.
The revenue of the outsourced publishing services industry in India has seen a 34% decline in the past two years. Large-sized service providers were the most affected, with their revenues in 2011 being less than half of that in 2009. An increase in interest expense has caused the net profit margins of medium-sized companies to be negative despite positive operating profits (EBITDA).
These are some of the findings of a report titled “Outsourced Publishing Services: Financial Performance Review” published by ValueNotes, a market intelligence and consulting firm. The report - the second of a series of financial reports on the KPO sector - analyses the key financial ratios of companies that constitute the outsourced publishing services segment. The companies covered in this report are pure-play KPOs with operations in India, which exclusively provide outsourced publishing services.
Large-sized companies prove resilient; mid-sized firms flounder
“While the sharp slowdown in revenues has impacted profitability across the outsourced publishing services industry, the larger players have been better able to manage the downturn,” says Arjun Bhuwalka, Project Manager at ValueNotes. Despite being affected by the fall in revenue, they have responded quickly to optimise their financials to maintain healthy margins. This will allow them to emerge stronger in the next growth phase. Medium-sized firms have not been able to do this and if they want to survive the economic crisis, they need to act now.
The leading contender, Knowledge Global Limited (KGL) represents the financial performance needed by companies in the industry in the current situation. The company has topped the service provider evaluation ranking in 2011 and shown strong financial credentials across parameters.
Top-5 pure-play service providers in the outsourced publishing services segment in 2011 KGL has reported the highest revenue, backed by industry leading margins and high returns to its shareholders. Other companies that have stood out for their financial performance are Altivolus Infotech, Integra, Quadrum and KiwiTech.
About ValueNotes Database Pvt Ltd
ValueNotes is a leading provider of business intelligence and research, with expertise across select More.. domains and types of customer needs. Working with clients across the globe, we have significant understanding of international markets.
The ValueNotes Outsourcing Practice is one of the largest information providers on the outsourcing industry. The Practice uses a comprehensive, analytical framework providing fresh insights into the fast emerging and yet, complex outsourcing space. We extensively track the space through regular analysis of news and events, continuous primary research and contact with the industry. Additional information is available at www.SourcingNotes.comLess..
ValueNotes Database Pvt Ltd
1, Bhuvaneshwar Society
Abhimanshree Road, Pashan
Phone : +91 20 6623 1700
Tags:research reports performance reports Outsourced Publishing Services Financial Performance Review Publishing Outsourcing Outsourcing in India
Published On:September 25, 2012
Print Release:Print Release
If you have questions regarding information in this press release contact the company listed above. I-Newswire.com is a press release service and not the author of this press release.The information that is on or available through this site is for informational purposes only and speaks only as of the particular date or dates of that information. As some companies and PR Agencies submit their press releases once per week,month or quarter, make sure to check the official company website for accurate release dates as our site displays the I-Newswire.com press release distribution date only.We do not guarantee the accuracy or completeness of information on or available through this site, and we are not responsible for or omissions in that information or for actions taken in reliance on that information.
Ultimate Flight Simulation Experience Provides An Innovative Alternative For Experience Gifts And Commercial Team-building Activities
Revised OpenCart User Manual Paperback Published Today
New York-based Site Selectors Set to Tour the City of Marlborough After Mayor Vigeant’s Presentation
Snacks Market in India 2013 New Report
Service Apartments in South Delhi Summer Special Offer Rs 35,000 Only