The company is in the process of transitioning towards a more IP-led business .
PUNE: Persistent SystemsNSE -1.74 % CEO Anand Deshpande said that going forward, the company would be investing more in improving sales channels as a means to grow business. “We will be investing in improving our sales channels and in more sales driven partnerships this year. The market is starting to buy products, and we believe that we have the products to sell,” he told ET. Last week, the company invested in, and entered into a strategic partnership with US based big data as a service firm, Cazena. The partnership combines Cazena’s Big data as a service platform with Persistent’s ShareInsights analytic solution and machine learning and artificial intelligence data solutions to create a self-service data lake.
The company announced its first quarter results on Saturday, reporting a 16.3% increase in profit at Rs 87.34cr and revenues of Rs 834.28 crore, up by 14.6%. The company’s European business grew well during the quarter, growing to over 12% of the total while the North American business went below 80% for the first time. “We have been investing in Europe over the last few quarters and had a Europe-centric deal with IBM which has caused an increase in revenue,” said Deshpande. While services and digital revenue was marginally lower during the quarter (21.4% as against 24% in the previous quarter) , he said that this was primarily because a few projects in digital had been completed and new ones were a bit slow to start. However, the company had a healthy digital pipeline.
The company is in the process of transitioning towards a more IP-led business and said that the business that used to come from building products for companies in the past would shrink over the next few quarters as transitioned into the next-generation of business focused on newer technologies.