Cranes Software's Q3FY2007 consolidated revenues up 36%, PAT higher by 46%

9MFY2007 revenues and PAT increase by 35% and 49% respectively

During the third quarter we remained in high expansion mode, expanding our sales and marketing infrastructure as well as making investments in R&D capabilities to launch new upgrades, particularly of our products catering to the Engineering and Scientific domain. These products supplied to Fortune 500 multinationals, defence research establishments and corporates in the life sciences industry contributed to significant revenue growth. We were also able to expand our net profit margins following efforts to improve our debt mix and reduced tax incidence having received software export house status.

• Operating revenues increased by 36% to Rs. 717.6 million compared to Rs. 529.1 million. .
• Operating profit improved by 27% at Rs. 410.0 million compared to Rs. 324.1 million.
• Net profit after tax grew by 46% to Rs. 225.0 million translating into diluted EPS of Rs. 1.82 as against Rs. 1.37 reported last year. .

• Operating revenues increased by 35% to Rs. 2,020.9 million compared to Rs. 1,499.2 million.
• Other income was negative on account of foreign exchange loss resulting from rupee's appreciation against the dollar.
• Operating profit improved by 22% at Rs. 1,113.6 million compared to Rs. 915.3 million.
• Personnel costs and general & administrative expenses have increased significantly as the current year results included the costs in operations of the newer business units acquired and established last year. These newer units are currently in an investment phase. The Company also continued to develop its overall operating framework to achieve larger scale and increase reach.
• Net profit after tax grew by 49% to Rs. 625.7 million from Rs. 420.7 million. EPS for the nine months stood at Rs. 5.17 up from Rs. 4.00 in the corresponding period last year.

• Launch of InventX SP2M 4.0:
  In December 2006, Cranes Software launched a new version of its enterprise product InventX SP2M 4.0 (Strategic Project Portfolio Management). The product was launched at the PMI Global Congress in Seattle, Washington and the PDMA International Conference held in Atlanta, USA.
  
  The latest version offers end-to-end business planning right from the strategic decisions to operations. Equipped with a multi-site project management and product development support environment, it can assist middle level management in providing regular reporting and status updates.
  
  
• UK Trade & Investment's New Market Entrant award
  Cranes Software won the UK Trade and Investment award for the New Market Entrant of the Year. Cranes' Chairman Dr. Rudra Pratap accepted the award on behalf of the Company from Mr. Mike Connor, UK's Deputy High Commissioner (South India) at a ceremony held at the Cranes offices in Bangalore. These awards are given by UK Trade and Investment to commemorate outstanding entrepreneurial achievement and growing trade links between UK and India.