Satyam Computer could have been hurtling down today, what with its none-too-impressive results, but a balance sheet clean-up initiative garnered positive market focus for the company.

As a result, the scrip of the Hyderabad-based software maker spurted 3.25% to Rs 156 on NSE after hitting a low of Rs 139 immediately on declaring results. Over 1.17 crore Satyam Computer shares changed hands on NSE by 10:30 IST.

Just before commencement of trading on Thursday, Satyam unveiled its fourth quarter ended 31 March 2003 results. For Q4, Satyam Computer (SCSL) recorded a marginal rise of 0.69 per cent in net profit to Rs 116 crore (Rs 1.16 billion) from Rs 115.2 crore (Rs 1.15 billion) in the previous corresponding quarter. Net sales jumped 20.8 per cent to Rs 553 crore (Rs 5.53 billion) from Rs 526.5 crore (Rs 5.26 billion).

capitalmarket.com poll had predicted that SCSL would post a net profit of Rs 115.5-127 crore (Rs 1.15-1.27 billion). So, actual net profit was barely in line with expectations. Net sales fell in line with expectations of Rs 526.5-558 crore (Rs 5.26-5.58 billion). The company recommended a final dividend of 110 per cent (ie Rs 2.20 per share of a face value of Rs 2 ) for the financial year 2002-2003.

SCSL posted a 5.87 per cent sequential rise in sales from Rs 522.3 crore (Rs 5.22 billion), but PAT was down 0.59 per cent, sequentially. For DQ 2002, the PAT was Rs 116.7 crore (Rs 1.16 billion).

The performance comes just about on the threshold of analysts' expectations, but lower than the company's own guidance. Satyam had earlier projected net profit at between Rs 129.5 crore and Rs 132.3 crore. Sales were projected at between Rs 524.78 crore (Rs 5.25 billion) and Rs 534.78 crore (Rs 5.35 billion).

A one-time write off of an exceptional expense of Rs 152 crore (Rs 1.52 billion) has, further, prompted a final loss of Rs 36 crore (Rs 360 million) for the fourth quarter.

Even so, the market seems cheered by the fact that the company has conducted this 'cleaning up of balance sheet' exercise by providing an one-time investment write off. Domestic institutions seem to be the most conspicuous buyers on the counter at the moment.

For the current financial year ending 31 March 2004, the company announced an EPS of Rs 15.65-16 on a net revenue rise of 15-17 per cent.