Rediff announces second quarter results.

by Edsel Mascarenhas    Oct 21, 2003 India Limited announced its financial results for the second fiscal quarter ended September 30, 2003, reporting an increase in India Online revenues by 18%.

Rediffůs total revenues for the quarter ended September 30, 2003 were US$3.4 million, down by 0.9 million as compared to US$4.3 million in the same quarter last year. India Online contributed US$0.77 million, a growth by 18% as compared to the same quarter last year. This was attributed mainly to growth in revenues from fee based services. Fee based revenues comprised of 49% of total India Online revenues.

Among the other highlights was the growth of registered users by 31% to 27.9 million as compared to last year. Revenues for US Publishing for the quarter ended September 30, 2003, declined marginally to US$1.5 million, compared to the same quarter in fiscal 2002.

Revenues from the phone card business were US$1.2 million compared to US$2.1 million for the same quarter last year.

“Lower revenues were due to decreased usage of US to India pre-paid phone services, reduced rates per minute, shifting of calls originating from the US to calls originating in India, as well as the managementůs decision to exit from the low margin prepaid wholesale phone card business,” explained Rediffůs official sources.

“Our focus this quarter has been on streamlining operations, developing and launching premium fee-based products in the area of mobile and subscription services”, said Ajit Balakrishnan, Chairman and CEO, India Limited.

“With these launches and product developments, we believe we are strongly positioned to capitalize the demand for a value added services explosion in the Indian market”, he concluded