Operators and institutions were active in tech stocks on Tuesday.

Some of the top gainers were KPIT Infosystems (up 10.7 per cent to Rs 182.10), Ramco Systems (up 10 per cent to Rs 445.55), Hexaware Technologies (up 9.6 per cent to Rs 156.80), Geometric Software (up 8.4 per cent to Rs 468), Mastek (up 6.4 per cent to Rs 575), Sonata Software (up 6.4 per cent to Rs 17.40), NIIT (up 4.3 per cent to Rs 172.80), e-Serve (up 4 per cent to Rs 550) and VisualSoft Technologies (up 4 per cent to Rs 241.40).

Among software pivotals, Infosys Technologies was up 3.9 per cent to Rs 4,451, Digital GlobalSoft (up 3.3 per cent to Rs 616.65), Wipro (up 2.6 per cent to Rs 1,578) and Satyam Computer (up 1.5 per cent to Rs 262.70). But stocks like Mastek, Geometric and Infosys slipped from their higher levels amid volatility in late afternoon trades.

Heavy volumes accompanied the rally in some of the stocks. Hexaware clocked 42 lakh shares, Mastek clocked 32.9 lakh shares and 24.4 lakh shares of VisualSoft were traded on the BSE.

Market men attributed the focus on tech stocks to upward revision in the FY 2002-03 guidance from Mastek and expectations that other software companies may come out with strong Q3 results.

There was increased operator-led activity in some of the stocks which have been included in the derivatives segment of the NSE from 31 January 2003.

Hexaware and KPIT Infosystems were among two such stocks, which surged on Tuesday. The National Stock Exchange last Friday said that derivatives trading in 25 scrips will begin from 31 January 2003, upon compliance of certain requirements to the satisfaction of the Securities and Exchange Board of India.

The market regulator, last Thursday, granted permission for the introduction of futures and options contracts on additional stocks in the derivatives segment.

A host of IT stocks and also a number of public sector undertaking scrips have found their place in the expanded list of 31 stocks.

Some of the stocks that were included in the list were HCL Technologies, Mastek, Polaris Software, VisualSoft Technologies, Wipro and NIIT. Other IT stocks in the list were Hexaware Technologies, Geometric Software, CMC, Hinduja TMT, Rolta India, Hughes Software, KPIT Infosystems, Infotech Enterprises and Tata Elxsi.

Hexaware is also being accumulated by institutions. Of late, local mutual fund Prudential ICICI is said to have been active on the counter.

On Monday, after market hours, Mastek posted a 165 per cent surge in its second quarter (ended 31 December 2002) consolidated net profit to Rs 16.26 crore, compared to Rs 6.13 crore in the corresponding period of the previous year.

Total revenues increased by 47.5 per cent to Rs 97.43 crore from Rs 66.07 crore in DQ 2001. The net profit came in line with market expectations (of Rs 15-17 crore).

Revenue, in fact, outperformed market expectations of Rs 90-95 crore. The company raised net profit guidance for the group (including share of joint ventures) from Rs 54-58 crore to Rs 64-68 crore for the year ending 30 June 2002-03.

Meanwhile, Tuesday's spurt on the Geometric Software counter was attributed to reports that the company has formed an alliance with EDS, the world's second-largest software services company, enabling the Indian firm to bid for all the CAD/CAM projects being undertaken by the multinational software giant.