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					For Immediate Release
Q4 and Annual Results for FY 2007-2008

Polaris income grows to Rs. 1,117 crore
… Annual income grows 22%, quarter income grows 19% (in $ terms)

Chennai, 23 April 2008: Polaris Software Lab Limited (POLS.BO), a Nasscom Top 10
company and the leader in Specialty Application Development in Banking, Financial and
Insurance sector, has announced fourth quarter and annual results for FY 2007-08.

For the year ended 31 March 2008, the total income was Rs 1,117.41 crore. Operating profit
(EBITDA) was Rs 136.30 crore and profit after tax (PAT) was Rs 73.21 crore. The company
recorded 22% growth in total income in dollar terms.

For the quarter ended 31 March 2008, total income was Rs 290.06 crore. Operating profit
(EBITDA) was Rs 36.21 crore and profit after tax (PAT) was Rs 21.45 crore.

During the quarter, the company recorded 14 new wins. The company also signed a Master
Services Agreement with a Fortune 10 Bank in North America.

The Board of Directors recommended a final dividend of 30% on the paid up capital of the
company for fiscal 2008.

The Board of Polaris Software Lab Limited considered a proposal of buy-back of its equity
shares and had discussions on this subject. In the course of the discussions, Members of the
Board drew attention to the real estate investments made by the Company and suggested that the
best options to maximize shareholder value from these investments should also be explored.

The Board accordingly decided to defer its decision on the buy-back of equity shares and
appointed a committee of the Board to give recommendations to enable the Board to take a
decision at its next meeting.

Financial Information Overview for the quarter ended March 2008
Indian GAAP Consolidated
Q4 Income             Rs. 290.06 crore , Up 19% YoY in $ terms, 6% in Rupee terms
Profit After Tax      Rs. 21.45 crore, Up 12% sequential QoQ in Rupee terms

Intellect Business contributes 20% to revenues, annual revenues grow 23%
        1. Intellect Wealth Management Platform went live in one of the largest Private Sector
           banks in India.
        2. Intellect Cash & Liquidity Platform went live in one of the largest banks in Southern
        3. Intellect Liquidity Platform went live in one of the Fortune 10 banks in Europe.
        4. Intellect Custody Platform has become the Market Leader in the Indian Market.
Polaris ranked #1 in Specialist testing capability for the global BFSI segment
Over 1100 employees specialize in testing services for the global BFSI segment. 90% of Polaris’
testing practice revenues come from the BFSI segment. The company was rated among the Top 3
in the Global financial services testing specialists report and ranked 1st among Specialty testing
players by Gartner (one of the world’s leading information technology research and advisory

Polaris has a truly global Application Certification Enterprise, with Application Performance
Diagnostics and Managed Testing Services being offered out of Canada, Northern Ireland, India
and Sydney.

BPO Business grows 90% YoY
Optimus Global Services, Polaris’ BPO subsidiary focusing on the high-growth Indian market
for complete banking process outsourcing, recorded a growth of 89.71% (in rupee terms) on a
YoY basis and 11.2% on a sequential QoQ basis.

Polaris was ranked by Tower Group (a leading research and consulting firm focused on the
global financial industry) among the world’s Top Professional Services Consulting organizations
along with the Tier 1 players in the IT and business consulting segments. Polaris won a
significant consulting engagement with a leading bank in UK for Progressive Modernisation of
Core Banking platform.

Mr. Arun Jain, Chairman & CEO, Polaris Software Lab Ltd., said, “With the knee jerk
reaction to subprime crisis happening in large banks, our strategy to invest into products has the
potential to explore markets beyond US and UK. We are planning to expand our distribution
footprint through partnerships and by exploring new markets”.

Mr. Arup Gupta, President & COO, Polaris Software Lab Ltd., said, “We have doubled our
strategic account landscape from 40 accounts two years back to 80 accounts currently. We
completed 12 critical lighthouse** implementations of Intellect this year”.

Mr. R Srikanth, Executive Vice President & CFO, Polaris Software Lab Ltd., said, “Our
singular focus on the profitability levers has resulted in the increase in net profit for the quarter
by 12%. Our revenues for the next year are hedged at an average rate of Rs. 40.07 against USD.”

** The term lighthouse is used in Polaris to denote Intellect Platform implementations in Tier 1 banks and financial
Financial Results for the Quarter ended March 31, 2008

                     Consolidated Profit and Loss account of Polaris Software Lab Limited

                                                 POLARIS SOFTWARE LAB - GROUP
                                                                                                                    Rs in Lakhs

                                                                   QUARTER ENDED                           YEAR ENDED

                           Particulars                     March 31, 2008     March 31, 2007      March 31, 2008    March 31, 2007

  Income from software services and products                      28,615.77           27,077.91        109,930.05        103,236.96
   Other Income                                                      390.66              340.63          1,811.01            623.77
   Total Income                                                   29,006.43           27,418.54        111,741.06        103,860.73

  Software development expenses                                   19,550.38           18,062.06        74,465.26          65,827.61
  Selling and marketing expenses                                   3,098.20            3,161.00        12,513.35          11,067.00
  General and Administrative expenses                              2,736.43            2,639.34        11,132.07          10,214.84

  Total Expenditure                                               25,385.01           23,862.40        98,110.68          87,109.45

  Profit before interest, depreciation & amortization              3,621.42            3,556.14        13,630.38          16,751.28

  Finance Charges                                                     18.47               31.48            78.61              83.93
  Depreciation / Amortization                                      1,131.30            1,215.49         4,602.48           4,811.39

  Profit after interest, depreciation & amortization               2,471.65            2,309.17          8,949.29         11,855.96

  Provision for diminution in value of investments                      -                 3.80               -                 -
  Share of Profit / (Loss) of Associate Companies                     65.03              71.52            (16.75)           241.56

  Profit before tax                                                2,536.68            2,384.49         8,932.54          12,097.52
  Provision for taxation                                             391.25             244.52          1,611.04           1,991.03

  Profit after tax                                                 2,145.43            2,139.97          7,321.50         10,106.49

  Earnings per share of Rs.5 each (Rs.)
          Basic                                                        2.17                2.17             7.42             10.28
          Diluted                                                      2.17                2.14             7.40             10.17
About Polaris Software Lab
Polaris Software Lab (POLS.BO), a NASSCOM Top 10 company, is a recognized global leader in
Specialty Application Development for the Banking, Financial and Insurance sector, with its
comprehensive portfolio of products, specialized outsourcing and modernization services and consulting.
Polaris has a talent strength of over 10,000 solution architects, domain experts and technology experts
and owns the largest set of Intellectual Properties in the form of a comprehensive product suite and nine
banking platforms namely Intellect Cash and Liquidity Management, Intellect Risk and Treasury Platform,
Intellect Wealth Management, Intellect Core Banking, Intellect Consumer Finance, Intellect Credit Cards,
Intellect 787 (Intellect Universal Banking), Intellect Front Office and Intellect Investor Services Platform.
Headquartered in Chennai, Polaris has its Corporate Banking Solution Centre in Mumbai, Investment
Banking Solution Centre in Hyderabad, Risk and Treasury Solution Center in Mumbai, Retail Banking
Solution Centre in Chennai and Enterprise Solution Centre in Delhi. Polaris has offices in Tokyo, Sydney,
Hong Kong, Singapore, India, Dubai, Bahrain, Riyadh, London, Belfast, Zurich, Frankfurt, Toronto, New
York, Chicago, Fremont and Chile.
For more information, please visit

Investor Conference Call
Polaris Software Lab Ltd. will host an Investors Conference Call, where the Senior Management of
Polaris will comment on the company’s performance during the Fourth quarter ended Mar 31, 2008 and
respond to questions from participants. The conference call will take place at 17:00 Hrs IST (19:30 Hrs
in Hong Kong / Singapore) on Wednesday, April 23, 2008.

To participate in the conference call, please dial the numbers given below five minutes ahead of
schedule. As participation is limited to 59 callers, early registration is encouraged. The transcript of this
conference call will be available within 72 working hours at website, in the investor

The dial numbers to join the conference call is as follows:

Conference name            :        Polaris Q4 FY08 Earnings Call
Time                       :        17 hrs IST (19:30 hrs in Hong Kong / Singapore) on
                                    Wednesday, April 23, 2008

Access Numbers for Polaris Software Lab Ltd Q&A Call 23rd April 2008, 5:00PM IST

                                             Reliance [59 Ports]

                               [34 Ports] Primary Access Toll Number: 02230360400
                                          Standby Access Toll Number: 02230360400
                                [5 Ports] Primary Access Toll Number:08030360400
                                           Standby Access Toll Number:02230360400
                                [15 Ports] Primary Access Toll Number:01130360400
                                           Standby Access Toll Number:02230360400
                                 [5 Ports] Primary Access Toll Number:04430360400
                                           Standby Access Toll Number:02230360400
                                                  HONK KONG
                                           Primary Access Toll free Number:800964999
                                   Standby Access Toll Number:02230360400
                                     Primary Access Toll free Number:8001011906
                                      Standby Access Toll Number:02230360400

                              REPLAY:[23rd April 2008 to 25th April 2008 ]
                                 Replay ID/Conference No:43180258
                                Primary Access Number:02230360400

For further information, please contact:

Media Relations – India

 Shailesh Dhawla                            Nikhila Kesavan
 Polaris Software                          20:20 Media
 91-99620-23124                            91-98401-24036        

Media Relations:

 US                                        UK
 Christine Xu                               Ramesh Ramakrishnan
 Polaris Software                          Polaris Software
 1.732.910.1842                             44.796.172.6762