August 15, 2018 (LBO) – Nasdaq listed software development company Virtusa (VRTU) reported earnings for the quarter ended June 30th 2018 last week.
The company reported revenue of US$300mn in the quarter, up over 30% year over year, and up 6% sequentially. Non-GAAP net income was US$17mn for the quarter.
For fiscal year 2019, which ends March 31, 2019, VRTU is projecting revenue of approximately US$1.25bn
The fast growing software company was founded in Sri Lanka by current Chairman and CEO Kris Canekeratne in 1996. From startup to now, Canekeratne has led the company from one with just a few employees, to now employing over 20,000 worldwide.
The 52 year old Canekeratne is another exapamle of Sri Lankan diaspora who have scaled the highest mountains in their respective fields. Unlike local companies, whose empires were often created from state patronage or monopolistic protected industries, Virtusa has been competitive in the global marketplace.
In their executive profile, Bloomberg lists Canekeratne’s prior year executive compensation at US$8.8mn. As the founder of Virtusa and long term Chairman/CEO, he also likely retains a valuable shareholding in the listed company.
VRTU now has a market capitalisation of over US$1.5bn, exceeding any company listed on the Colombo Stock Exchange. With 30% revenue growth, it is also growing much faster than any large company in Sri Lanka.