MindTree Q4 net profit doubles, stocks soars 11%

Stocks

oi-Sneha

By Sneha B K

Published: Tuesday, April 17, 2012, 16:49 [IST]

MindTree posted higher than expected consolidated net profit of Rs 68.9 crore. The company had posted a net profit of Rs 32 crore in the previous period.

MindTree CEO & Managing Director, Krishnakumar Natarajan said, "FY 2011-12 has been a great year. We got the leadership team to a "back to basics" approach. We focused on a few verticals and did deeper mining of existing relationships.

The "back to basics" approach has helped to grow margins consistently each quarter. Going forward, we believe we will continue to deliver higher revenue growth than industry estimates in FY2012-13 and improve EBITDA margins further. We do however see the uncertain global environment and the currency volatility as our biggest risks" he further added.

MindTree's revenue grew by 1.2% QoQ and 34.4% YoY to Rs 5,257 crore. Profit after tax(pat) on the other hand increased by 13.7% QoQ and 115.3% YoY to Rs 68.9 crores. Attrition rates in the company slowed to 18.2% from 19.4%

The company declared a final dividend of Rs 1.5 per share. As of March 31, 2012, MindTree had 237 active customers, including 37 Global Fortune 500 Companies. MindTree added 502 people on a gross basis during Q4, taking its total people strength to 11,000.

Shares of the company were trading higher at Rs 522.00, up Rs 33.55 or 6.87 per cent on the BSE at 10.00 am IST.

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