MindTree net profit down by over 55 per cent

BANGALORE: MindTree Ltd, a provider in IT solutions and services, announced on Monday that its profit dipped by 55.5 per cent during the financial year 2008-09, despite an increase in revenue.

While the profit came down by over 55 per cent Y-o-Y to Rs 52.31 crore from Rs 103.3 crore as on March 2008, revenue was up by over 67 per cent to 1237.5 crore from last years revenue of Rs 739.8 crore.

For the quarter ended March 31, 2009, the revenue stood at 3,381 million compared to Rs 2082 million as on March 31, 2008.

The basic earnings per share for the financial year stood at Rs 13.8.

The release said 22 new customers were added during the quarter, whereas, 217 people were added on a net basis during the quarter, taking the people strength to 7,866 as of March 31, 2009.

As of March 31, 2009, the customer base of the company stood at 261, including 37 Global Fortune 500 companies.

Mindtree said it will grow its income to $290-$300 million during year ending March 2010, as it seeks to become a $1-billion company over the next few years.

“Despite the current economic challenges, we have shown an industry leading revenue growth. It draws from the strengths of both MindTree and Aztecsoft and strengthens our position as the best mid-sized company,” said MindTree executive chairman Ashok Soota.

“Our new organization structure and focus on new business areas will help us withstand the economic crisis and continue on our path to become a $1 billion organization,” he added.

“We are winning new customers and expanding engagements with existing customers, and we are also focusing on improving our operational efficiency,” said MindTree CEO and MD Krishnakumar Natarajan.

He added that though they see short-term challenges, they feel good about the long-term outlook.