MindTree reports spectacular growth in net profits; markets cheer results

MindTree Limited, a global IT and Product Engineering Services company net profit surged by 116% year on year(y-o-y) to $16.7 million in dollar terms. While, the rupee profits have surged by 157.2% y-o-y for the first quarter ended June 30, 2012.

The company's dollar revenue rose by 0.4% q-o-q and 14% y-o-y and stood at $105.5 million in dollar terms. While, in rupee terms, revenues rose by 7% to Rs 563 crore from Rs 525.7 crore.

"The global demand environment continues to be challenging as customers are cautious in their IT spending. However, with our strategic initiatives, we expect to achieve NASSCOM's current industry estimates for FY13," said Krishnakumar Natarajan, MindTree's CEO and MD.

The company also said that "During the quarter, $1 million customers increased by 1 to 78; $10 million customers increased by 1 to 8".
The company saw forex gain of Rs 8.6 crore in the first quarter, compared with a forex loss of Rs 3.7 crore in Jan-March and a Rs 9.1 crore gain in the year ago quarter.

In this quarter the company added 272 people on a gross basis during Q1 FY2013, taking its total strength to 10,830 as of June 30, 2012.

The shares of the company were trading higher by 3.50% at Rs 681 on BSE at 11.25 pm IST.

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