Epam Systems US GAAP net profits jump 60% in Q2
MOSCOW. Aug 3 (Interfax) - The Russian software developer Epam Systems, Inc. saw its second-quarter net profits to US GAAP surge 60% to $13.32 billion from $8.3 million in the same quarter last year, a company statement says.
Epam's sales revenues for the quarter amounted to $103.8 million, 29.5% more year-on-year ($80.2 million in Q2 2011). Company operating profits were up 55% at $16.83 million and its pretax profits 50% at $15.9 million.
As of June 30, Epam had $104.9 million in cash funds and equivalent on its accounts ($88.8 million at the start of the year).
The company expects to see Q3 sales revenues of $107-$109 million and income for the entire year of $412-$418 million.
Its US GAAP sales revenues for last year as a whole came to $334.5 million and its net profits to $44.35 million.
Epam Systems was set up in 1993. Its main design facilities are located in Belarus, Ukraine, Russia, Hungary, and Kazakhstan. Around half of the company's income is made in North America, a third in Europe, and some 17% in Russia.
This past February, the company went public with an IPO on the New York Stock Exchange, placing shares for $12 apiece against a starting range of $16-$18. Epam shareholders raised $48 million, the company itself $24 million, and free float amounted to 15.3%.
Epam Systems' biggest shareholder, the investment fund Russia Partners, ended up with 43.6% of the company stock. The company's president and chairman of its board of directors, Arkady Dobkin, holds 12.5%, the VTB Capital organization Rainmeadow Holdings has 6.4%, the investment fund Da Vinci 5.1%, and company cofounder Leonid Lozner 6.2%.
