BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy
ICICI Direct Report
MindTree reported 9.0% QoQ dip in dollar revenues, mainly led by 54.5% dip in travel and hospitality revenues. However, cost efficiency, rupee depreciation led margins to improve by 108 basis point QoQ to 16.9%. In addition, the company has registered healthy deal pipeline, which increased 20.7% YoY.
We believe the company’s strategy to increase the annuity business will provide long term visibility to revenues. In addition, Mindtree’s aim to improve margins via employee pyramid, offshoring, pricing, utilisation and annuity business bodes well for profit growth. Further, the company has changed the forex hedging strategy to a three year period, which will provide better profit after tax margin visibility.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR