Accel Frontline : Balancing Act

For FY'09, Accel Frontline recorded a growth rate of seven percent, compared
with an impressive 43 percent growth during FY'08. Revenue for FY'08-09 was Rs
337 crore compared with Rs 314 crore in FY'07-08.

It is commendable though that it could register this single-digit growth
despite economic downturn and hiving off its warranty management services
division as part of the restructuring initiative. This year was marked by the
integration of Accel Frontline's services portfolio with its majority
stakeholder BT Frontline.

Region-wise North was the big contributor to the company at 42 percent, while
South contributed 28 percent, while East and West contributed 15 percent each.
Segment-wise, IT/ITeS/telecom contributed 34 percent, BFSI contribution was 20
percent, while government segment contributed 12 percent.

The telecom segment continued to contribute substantially to Accel
Frontline's FY'08-09 revenue. Much of the revenue came from existing customers
such as Ericsson, Bharti, Nokia Siemens and Alcatel. The banking segment too
including State Bank of India and Punjab National Bank contributed
significantly.

The company also acquired Bengaluru-based XLNC Infotech Solutions that
focuses on warranty management services. It was bought by Accel as a going
concern by acquiring 100 percent of the equity. XLNC is engaged in providing
high-end technical repair services and warranty management services for MNC
OEMS. For the year-ending March 31, 2008, XLNC had a turnover of Rs 5.2 crore.

On the software front, the company made deep inroads into the banking
solutions and services space with a global spread of onsite projects in Middle
East, Eastern Europe, Ghana, Nigeria, and Sri Lanka.

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SILVER CLUB RANK (2007-08): 1
PROFILE
CEO: NR Panicker Start-up Year: 1991 Employees: 2,000 Collaborations: Sun Microsystems, IBM, HP, Oracle, Microsoft, EMC, Symantec, VMware, Business Objects, etc Address: Accel House, #75 Nelson Manickam Road, Chennai - 600029 Tel: 42252000 Website: www.accelfrontline.com
HIGHLIGHTS Augmented delivery capabilities across India Bagged Software Partner of the Year, Outstanding Contribution awards

For the current fiscal, the company plans to focus on virtualization, open
storage, de-duplication, continuous data protection, SaaS, networked IT
services, cloud computing and green IT. It recorded a consolidated revenue of Rs
62.8 crore for the first quarter of FY'10 and expects 20 percent growth for full
year.