CLPS Incorporation Appoints Srustijeet Mishra as CEO of CLPS California to Further Drive U.S. Business in the Next Stage of Growth

Rhea-AI Summary

CLPS Incorporation (Nasdaq: CLPS) has appointed Mr. Srustijeet Mishra as the new CEO of CLPS Technology Inc. in California, responsible for U.S. operations. Mr. Mishra, an IT veteran with over 20 years of experience, previously founded Ridik and led CLPS SEA. Under his leadership, CLPS California, established in January 2020, has shown significant growth, including an 85% team expansion and revenue generation since fiscal year 2021. The company plans to leverage its established relationships in Asia to build a strong client base in the U.S., aiming for further growth in North America.

Positive

• Appointment of Srustijeet Mishra as CEO of CLPS California may enhance management focus on U.S. operations.
• Mishra's extensive experience in IT and prior success with Ridik could bring fresh perspectives to CLPS's U.S. expansion.
• CLPS California has achieved an 85% team growth and revenue generation since FY2021, indicating solid operational progress.

Negative

• Concerns about continuity in leadership, being a relatively new appointment in a critical market.
• Potential challenges in adapting to the competitive U.S. market despite existing relationships.

HONG KONG, Aug. 12, 2022 /PRNewswire/ -- CLPS Incorporation (the "Company" or "CLPS") (Nasdaq: CLPS), today announced the appointment of Mr. Srustijeet Mishra as the CEO of CLPS Technology (California) Inc. ("CLPS California"), a wholly-owned subsidiary of the Company. He will be fully responsible for the development and management of business activities in the U.S. market, and will continue to serve as the CEO of the Company's business entities in the Southeast Asia region (referred to collectively as "CLPS SEA").

Mr. Mishra was the founder of Ridik, a Singapore-based IT services provider. He officially joined the Company upon initial acquisition of 80% of Ridik's equity stake in September 2019. Its increased financial returns and growing potential for business development led the Company to acquire the remaining 20% equity stake in Ridik, and at the same time, appointed him as the CEO of CLPS SEA in December 2020. Following the Company's global expansion strategy, he was appointed as the director and president of CLPS Philippines when it was established in September 2021.

Mr. Mishra has more than 20 years of experience in the IT industry with expertise in providing professional IT services to financial and IT institutions across Southeast Asia and Europe. He holds an MBA degree from IILM Institute for Higher Education in New Delhi, India and a master's degree in Physics from Andhra University in Visakhapatnam, India.

Mr. Raymond Lin, Chief Executive Officer of CLPS, said, "Mr. Mishra is a seasoned and accomplished industry veteran who is well suited to lead our U.S. business to new heights. With his extensive industry experience and management skills, we are optimistic that our overseas business will achieve greater success under his leadership."

Established in January 2020, CLPS California has been providing IT services to some of the Fortune 100 companies in industries such as e-commerce, fintech, IT consulting, and IT services. Its team size has grown by 85%, and it has begun to generate revenue since fiscal year 2021. At present, the Company has set up delivery teams in India and Singapore, mainly focusing on providing IT consulting services to clients in North America. Further, it plans to utilize various engagement models with its existing and new clients in the U.S., including fixed-price model, turn-key financial solution, client specific Center of Excellence (CoE), offshore development center (ODC), service-level agreement (SLA), hybrid (onshore-offshore) model, build-operate-transfer (BOT) model, and managed services, among others.

"The last few years have been challenging for companies around the world. The recurrent COVID-19 outbreaks have forced many business organizations to halt strategic initiatives and goals in favor of maintaining operations. For companies and entrepreneurs, restarting businesses and adopting the concept of the 'new normal' have opened up new perspective and ideas. It is a great opportunity for us as many companies start to develop long-term strategies for digital transformation, adopt emerging technologies, or move to new business model," said Mr. Mishra. "We are currently delivering most of the offshore projects for our U.S. clients from China. In addition, as we reposition CLPS as a global brand, we plan to extend our overseas operations from Asia to North America, further expanding our delivery network and delivery model. As a result, it will create a unique advantage for us in the U.S. market."

He added, "With our extensive industry experience and long term working relationships with most of the big foreign banks and insurance companies in China and Singapore, we are confident of building a strong client base in the U.S. Geographically, we have grown across the SEA region with subsidiaries in Singapore, Malaysia and the Philippines, as well as in India with an ODC. By offering a variety of delivery approaches combined with the convenience of IT talent policy in these countries, we are not only able to give our clients across the globe with high standards of services, but also provide flexibility to meet their specific needs. For instance, Singapore is a preferred location for fintech projects, whereas semiconductor industry prefers India for embedded software projects. Therefore, having strategic locations allows us to maintain a favorable and long-term relationship with our clients. In addition, we have increased our investment in a range of products, including a new generation of loan system, CAKU credit card system and digital asset solutions for financial institutions, which will open up new opportunities and will enable us to quickly enter the North American market. Accordingly, we anticipate that our business in North America is poised to enter the next phase of growth."

About CLPS Incorporation

Headquartered in Hong Kong, CLPS Incorporation (the "Company") (Nasdaq: CLPS) is a global leading information technology ("IT") consulting and solutions service provider focusing on the banking, insurance, and financial service sectors. The Company serves as an IT solutions provider to a growing network of clients in the global financial service industry, including large financial institutions in the US, Europe, Australia, Southeast Asia and Hong Kong SAR, and their PRC-based IT centers. The Company maintains 19 delivery and/or research & development centers to serve different customers in various geographic locations. Mainland China centers are located in Shanghai, Beijing, Dalian, Tianjin, Baoding, Xi'an, Chengdu, Guangzhou, Shenzhen, Hangzhou, and Hainan. The remaining eight global centers are located in Hong Kong SAR, USA, Japan, Singapore, Malaysia, Australia, India, and the Philippines. For further information regarding the Company, please visit: https://ir.clpsglobal.com/, or follow CLPS on Facebook, Instagram, LinkedIn, and Twitter.

Forward-Looking Statements

Certain of the statements made in this press release are "forward-looking statements" within the meaning and protections of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements with respect to the Company's beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions, and future performance. Known and unknown risks, uncertainties and other factors, which may be beyond the Company's control, may cause the actual results and performance of the Company to be materially different from such forward-looking statements. All such statements attributable to us are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties related to the Company's expectations of the Company's future growth, performance and results of operations, the Company's ability to capitalize on various commercial, M&A, technology and other related opportunities and initiatives, as well as the risks and uncertainties described in the Company's most recently filed SEC reports and filings. Such reports are available upon request from the Company, or from the Securities and Exchange Commission, including through the SEC's Internet website at http://www.sec.gov. We have no obligation and do not undertake to update, revise or correct any of the forward-looking statements after the date hereof, or after the respective dates on which any such statements otherwise are made.

Contact:

CLPS Incorporation
Rhon Galicha
Investor Relations Office 
Phone: +86-182-2192-5378 
Email: ir@clpsglobal.com

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SOURCE CLPS

FAQ

Who is the new CEO of CLPS California?

Mr. Srustijeet Mishra has been appointed as the CEO of CLPS California.

What is the significance of Mishra's appointment for CLPS?

Mishra's appointment is aimed at driving business growth in the U.S. market, leveraging his extensive experience.

When was CLPS California established?

CLPS California was established in January 2020.

What growth has CLPS California experienced?

CLPS California has achieved an 85% increase in team size and has begun generating revenue since fiscal year 2021.

What strategies does CLPS plan to implement in the U.S. market?

CLPS plans to utilize various engagement models, including fixed-price models and managed services, to attract U.S. clients.