Mindtree Revenue Beats Estimates But Profit Takes A Hit
Mindtree’s revenue rose 1.7 percent but profit fell 5.7 percent in January-March quarter.
Information technology firm Mindtree Ltd.’s revenue beat estimates in the January-March quarter of the financial year 2016-17, but profit took a hit on account of a foreign exchange loss and fewer client additions.
Net profit fell 5.7 percent to Rs 97.2 crore as compared to the last quarter, the company said in a filing to the stock exchanges, marking the fourth consecutive quarterly decline.
Mindtree saw a Rs 228 crore loss in foreign exchange in the quarter compared to a Rs 32 crore profit in the previous quarter. Analysts tracked by Bloomberg had pegged the bottomline at Rs 106 crore. Clients added in the quarter dropped 46 percent to 20.
Revenue beat the Bloomberg consensus estimate, rising 1.7 percent to Rs 1,318 crore sequentially, the filing added. In dollar terms, the topline grew 1.8 percent on a quarter-on-quarter basis to $195.6 million, led by its technology and media services, and banking, financial services and insurance segments.
Earnings before interest and tax rose 9.4 percent to Rs 140.1 crore while the EBIT margin jumped to 10.62 percent from 9.88 percent.
Attrition for the past financial year stood at 15.1 percent.