Happiest Minds Technologies' net profit falls 14.5% quarter-on-quarter even as revenue grew 14.5%

IT firm Happiest Minds Technologies Ltd has reported a manifold growth in consolidated net profit at ₹36.05 crore in the March 2021 quarter. The company, which got listed on BSE and NSE last year, had posted a net profit of ₹5.30 crore in the year-ago period.

Its revenue was at ₹220.71 crore in the quarter under review, up 18.4 per cent from ₹186.35 crore in the year-ago period, a regulatory filing said.

On a quarter-on-quarter basis the net profit fell 14.5 per cent, from ₹42.15 crore in the December 2020 quarter. Its revenue grew 14.5 per cent from ₹192.84 crore in the third quarter of FY'21.

"The highlight for the year FY21 was our successful IPO... As we begin FY22, we will look to achieving 20 per cent organic growth as indicated at the time of our IPO," Happiest Minds Technologies Executive Chairman Ashok Soota said.

In dollar terms, the revenue stood at USD 30.2 million, up 18 per cent year-on-year and 15.4 per cent sequentially.

The company's net profit more than doubled to ₹162.46 crore, while revenue was higher by 10.8 per cent to ₹773.41 crore in FY'21 from the previous fiscal.

"Our fiscal year revenue growth of 6.3 per cent in USD terms is reflective of our business model which positions us as a go-to player for customers building a digital ready enterprise," Happiest Minds Technologies MD and CFO Venkatraman N said.

He added that revenues for the quarter grew sequentially by 15.4 per cent, which includes Pimcore Global Services (PGS) that was acquired earlier during the quarter.

"Our growth for the quarter even on a standalone basis has been robust. Considering our performance, strong cash generation and capital allocation priorities, I am happy to highlight the maiden dividend of ₹3 per share recommended by the Board," he said.

The company had 173 clients as of March 31, 2021 with addition of 23 new customers during the quarter. Its headcount was at 3,228 people, with trailing 12 months attrition at 12.4 per cent.

The company announced its results late night on Wednesday.

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