Syntel, Inc. (SYNT)
Q3 2009 Earnings Call
October 29, 2009 10:00 AM ET

Executive

David Mackey - Senior Vice President, Finance
Bharat Desai - Co-Founder and Executive Chairman
Keshav R. Murugesh - President and Chief Executive Officer
Arvind S. Godbole - Chief Financial Officer, Principal Accounting Officer and Chief Information Security Officer

Analyst

Bryan Keane - Credit Suisse
Joseph Foresi - Janney Montgomery Scott
Joseph Vafi - Jefferies & Co
Brian Kinstlinger - Sidoti & Co
Bhavan Suri - William Blair & Co
David Cohen - JPMorgan
[Chris Whitman] - Wells Fargo
Justin Cable - Global Hunter Securities
Vincent Colicchio - Noble Financial
Tim Fox - Deutsche Bank

Presentation

Operator

Ladies and gentlemen, thank you for standing by and welcome to the Syntel third quarter 2009 earnings call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. At that time, if you have any question, you need to press star then the number one on your telephone keypad to place your line into the question queue. If you would like to withdraw your questions press star and the number on again. As a reminder, this call is being recorded today, Thursday, October 29th, 2009.

I will now turn the call over to David Mackey, Syntel’s Senior Vice President of Finance.

David Mackey

Thank you and good morning, everyone. Syntel’s third quarter earnings release crossed Business Wire at 8:29 A.M. today. It’s also available on our website at www.syntelinc.com.

Before we begin, I’d like to remind you that some of the comments made on today’s call and responses to questions may contain forward-looking statements. These statements are subject to the risks and uncertainties described in the company’s earnings release and other filings with the SEC.

I’ll now turn the call over to Syntel’s Chairman, Bharat Desai. Bharat?

Bharat Desai

Thank you, David. Good morning, everybody and thank you for joining us today. As the overall economic environment continues to stabilize, the project – prospects of the reacceleration in business momentum continues to improve. Mainstream cost reduction programs such as application maintenance are being implemented as planned and discussions around newer service offerings such as KPO and discretionary IT projects are progressing.

While we believe that additional certainty, including 2010 budget finalization, will be required before spending commitments are made. It is clear that many of our clients realize that their technology and business processes have not kept pace with changes in their businesses.

We continue to feel that Syntel is well positioned to take advantage of the macroeconomic trend towards globalization of services. Throughout the difficult economic environment, which has prevailed over the past year, Syntel has managed to sustain exceptional operational and financial performance.

Our history as a nimble, flexible organization has allowed us to dynamically adjust our model to both changes in the operating environment and changes in our clients’ business requirements. We’ve been able to do this without sacrificing the key investments necessary to drive long-term sustainable business value for our clients and all other stakeholders. To be successful going forward, we must continue to aggressively invest to provide our clients with the vision and thought leadership they expect from a true business partner.

I will now turn the call over to Keshav Murugesh, Syntel’s Chief Executive Officer, and then to Arvind Godbole, Syntel’s Chief Financial Officer, to provide details on our operational and financial performance. Keshav?

Keshav Murugesh