Midcap IT company Mindtree on January 13 has reported healthy growth in earnings for the quarter ended December with profit growing 9.7 percent sequentially and total contract value crossing $1.2 billion.
The profit for Q3FY22 at Rs 437.5 crore grew by 9.7 percent and revenue at Rs 2,750 crore increased 6.3 percent compared to the previous quarter, the company said in its BSE filing.
Profit on a year-on-year basis increased 34 percent and revenue 35.9 percent for the quarter. BFSI (banking, financial services, insurance) segment registered 4.2 percent sequential growth; communications, media & technology 6.1 percent; and travel, transportation & hospitality 7.4 percent for the December 2021 quarter, while healthcare segment clocked a massive 29.2 percent during the quarter compared to the previous quarter.
“…. continued positive revenue momentum through the third quarter of FY22 on the back of robust demand, aggressive customer mining, and end-to-end digital transformation capabilities,” said Debashis Chatterjee, Chief Executive Officer and Managing Director of Mindtree.
Revenue from operations grew 5.2 percent sequentially in constant currency. “This reflects the strength of strategy, execution, partnerships, and continued investments in our business and people,” said Debashis.
Mindtree recorded order book for the quarter $358 million, up 14.6 percent YoY, and year-to-date deal total contract value (TCV) crossed $1.2 billion,” he added.
The company has 265 active clients as of December 31, 2021, (up from 263 clients in Q2FY22) after adding 2 clients in the $5 million+ band and 3 clients in the $10 million+ category during the quarter.
The business growth was driven by North America, Continental Europe, and APAC & Middle East which registered 5.1 percent, 6.9 percent, and 14.7 percent sequential growth in Q3 respectively, but UK and Ireland recorded a 7.1 percent QoQ decline in revenue.
At the quarter ended of December 2021, Mindtree had 31,959 employees, with a trailing 12 months attrition at 21.9 percent, said the company.
On the operating performance, EBIT (Earnings before interest and tax) grew by 12.6 percent sequentially to Rs 528.9 crore with margin expansion of 100 bps QoQ at 19.2 percent in Q3FY22.
Mindtree’s share price closed at Rs 4,743.80 on the BSE, up 2.36 percent today. The company announced results after market hours today.