Satyam Computer Services, the last of the frontline technology companies to announce results, came out with numbers, which met market expectations. However, the company has given a conservative guidance for the current year which is much below the guidance from other frontline companies.

The one for one bonus announcement could not ease the disappointment from lower guidance and the stock gave up 7 per cent in today's trade.

During the year 2005-06, Satyam crossed the $1 billion mark in revenues. Satyam is the fourth Indian IT services company after TCS, Infosys and Wipro to cross $1 billion in revenues.

For the quarter ended 31 March 2006, Satyam has reported a consolidated net profit of Rs284.65 or Rs8.45 per equity share - an increase of 38.07 per cent as compared to Rs206.16 crore or Rs6.32 per share for the same quarter of previous year.

Consolidated revenues for the quarter rose 34.08 per cent to Rs1,342.51 crore from Rs1,001.29 crore for the fourth quarter of previous year.

EBITDA for the quarter, excluding other income, increased 40.38 per cent to Rs334.49 crore from Rs238.27 crore for the previous year quarter. EBITDA margins improved nearly 100 basis points to 25.46 per cent of operating revenues from 24.53 per cent.

For the full year 2005-06, consolidated profits increased 60.45 per cent to Rs1,141.73 crore from Rs711.64 crore reported for the previous year. Full year consolidated revenues increased 42.08 per cent to Rs5,125.84 crore from Rs3,607.67 crore.

The consolidated results include the numbers of the company's BPO subsidiary Nipuna as well as overseas subsidiaries.

Satyam added 120 new customers during the year including 12 Fortune 500 customers.

For the current financial year 2006-07, Satyam has given a revenue growth guidance of between 25.2 per cent and 27.3 per cent. The diluted EPS is forecast to expand between 18 per cent and 20 per cent.

The company said it is planning to raise salaries significantly to reduce attrition. Offshore salaries may be increased by as much as 18 per cent, higher than other large companies. This additional cost would eat into margins which prompted the company to give a conservative guidance.

The BPO subsidiary reported revenues of $20 million for 05-06 as against a guidance of $18 million. The guidance for current financial year is an aggressive $36 million and the operation is expected to turn profitable.

Satyam added 3,079 employees on a net basis during the last quarter taking the total employee strength to 26,511 as of March end. Nipuna BPO and other subsidiaries had 2,113 people on their rolls, taking the total strength to 28,624.