Mindtree Q4 net profit up 49% to ₹473 cr
1 min read . Updated: 19 Apr 2022, 01:16 AM IST
Premium- The firm’s revenue for the fourth quarter stood at ₹2,897.4 crore, up 37.4% from a year earlier driven by broad-based growth
Mindtree Ltd’s net profit for the March quarter rose 49.1% from a year earlier to ₹473.1 crore, driven by growth in revenue and various operational efficiency parameters.
The Bengaluru-based software services company’s revenue for the fiscal fourth quarter grew 37.4% from a year earlier to ₹2,897.4 crore, driven by broad-based growth, especially in digital transformation. On a sequential basis, revenue was up 5.4%, indicating a gradual recovery in business.
Revenue in dollar terms was at $383.8 million, up 4.8% sequentially, and 33.2% from a year earlier, on the back of deals with a total contract value of $390 million during the quarter, comprising a mix of annuity and recurring deals. For the full year, dollar revenues grew 31.1% to $1.4 billion.
“Our full-year revenue growth of 31.1% validates our strategy to capitalize on rising demand by diversifying our services portfolio, mining customers, and broadening the industry partnerships. We are proud to have delivered EBITDA margin of 20.9% and PAT margin of 15.7%, our highest in a decade," said Debashis Chatterjee, chief executive and managing director, Mindtree. Ebitda is short for earnings before interest, taxes, depreciation and amortization. PAT is profit after tax.
Digital continues to drive Mindtree’s business. Last year, it completed the acquisition of the NxT Digital Business from Larsen and Toubro for ₹198 crore, a move that is expected to help the mid-sized IT firm capture opportunities in the internet of things (IoT) and industry 4.0 space.
Mindtree will continue to invest in metaverse capabilities, which would help clients “accelerate and optimize their transition to the meta economy," Chatterjee said.
The firm’s attrition rate for the March quarter, on a trailing 12-month basis, rose to 23.8% from 21.9% in the preceding quarter, indicating that demand for tech talent continues to outpace supply. Mindtree added close to 11,200 employees in FY22, taking the total headcount to 35,071 as of 31 March. Mindtree declared its earnings after market hours on Monday. Ahead of the results, shares of the company closed 3.33% lower to ₹3,960.8 on the BSE.
