Hungarian IT services company Synergon Informatika Rt has reported a net profit for the first nine months of this year of HUF307m ($1.26m) on revenue that rose 41.6% to HUF8.26bn ($33.8m). This compared to a net of HUF319m ($1.3m) in the first nine months of last year. The company, which floated on the Budapest stock exchange in May, attributed the fall in its bottom line to a slowdown in business caused by the millennium problem in banking, insurance and utilities sectors, as well as delays in payments being made on certain outsourcing contracts. Synergon explained the upturn in revenue while the bottom line was dropping by the fact that low-margin hardware sales had increased their contribution to the former vis-a-vis software and services. CEO Zsolt Szaloczy admitted, in announcing the figures, that the Budapest-based company had overestimated the growth in the market this year.
