Satyam Computer Services Ltd. disclosed standalone unaudited financial results for the quarter ended December 31, 2008. The company’s Profit After Tax (PAT) for the October-December quarter stood at Rs1.81bn while the total income for the period was Rs22.06bn. Operating profit (excluding other income) for the third quarter of FY09 is Rs3.64bn, while the operating profit margin is 15.87%. The PBIDT for the quarter stood at Rs2.76bn while the PBIDT margin was 12.51%.

For January 2009, Satyam's standalone PAT was Rs400mn on total income of Rs6.47bn. Operating profit (excluding other income) for January was Rs610mn, while the operating profit margin was 8.96%. The PBIDT for the month stood at Rs270mn while the PBIDT margin stood at 4.17%.

The company's standalone PAT for February 2009 was Rs520mn and total income at Rs6.73bn. Operating profit (excluding other income) for February was Rs1.18bn, while the operating profit margin was 17.46%. The PBIDT for the month stood at Rs790mn while the PBIDT margin stood at 12.4%.

The company had total orders worth US$380mn between January and March 26 and has 41,622 employees as on March 28. The company said that it lost 23 clients worth contract US$70mn and 24 clients withdrew purchase orders worth US$91mn.

Satyam's stock hit upper circuit for three consecutive days before easing off on the last day of the week. The value of the Satyam share surging past the open offer price of Rs58 per share, raising concerns that investors may not tender shares at a discount to the current price. If the open offer doesn’t succeed it will be positive for Tech Mahindra. Satyam, in any case, has to make a preferential allotment for the shortfall in the open offer, at Rs58 per share, which could be at a substantial discount.

Separately, Satyam's Board announced that up to 10,000 employees, or about a fourth of the staff, will be allowed to join a "virtual pool" by taking time off from work on sharply reduced pay for up to six months starting next week. The plan is expected to save the Hyderabad-based company, which now has some 41,600 staff, Rs10mn every day. Satyam spent around Rs 5bn on salaries in February, and staff costs account for more than half of the company’s expenses.

Employees, who have not been part of revenue-earning assignments, at least, for the past three months, including support staff, will join the "virtual pool". Around 14,000 employees are counted among the company’s non-billable resources. A Satyam statement said the "virtual pool" is a one-time programme, suggesting that further drastic measures to trim staff costs may not be needed.