Mindtree Q4 profit up 53% YoY to Rs 317 cr; declares dividend of Rs 17.5/sh

Mid-tier IT firm Mindtree on Friday reported a consolidated net profit of Rs 317.3 crore for the March quarter of fiscal year 2020-21 (Q4FY21), up 53.4 per cent from previous year’s profit of Rs 206.2 crore. On a sequential basis, however, the PAT slipped 2.9 per cent from Rs 326.5 crore.
 

Its revenue from operations stood, in rupee terms, at Rs 2,109.3 crore, clocking an improvement of 3 per cent YoY from Rs 2,050.5 core reported in Q4FY20. The same was up 4.2 per cent QoQ from Rs 2,023.7 crore logged in the December quarter of the current fiscal.
 

In dollar terms, the revenue was $288.2 million, up 5.2 per cent QoQ and 3.5 per cent YoY from $274.1 million and $278.4 million, respectively.
 

“We are proud to deliver another strong quarter, driven by significant traction in our client portfolio globally, leading to revenue growth of 5.2 per cent, Ebitda of 21.9 per cent, and an order book of $375 million at the end of Q4,” said Debashis Chatterjee, Chief Executive Officer and Managing Director, Mindtree.
 

For the year, Mindtree delivered revenues of $1,076.5 million and margin expansion of 680 bps, while increasing their order book by 12.3 per cent.
 

“As we enter FY22, we are confident that continued client demand for our transformative services, a strong order book, and our strategic investments positions us well to deliver double digit growth and sustain EBITDA above 20 per cent,” Chatterjee added.

On the operational front, Mindtree's Ebitda (earnings before interest, tax, depreciation, and amortisation) grew a healthy 32 per cent on year to Rs 462.6 crore from Rs 351.2 crore. From the previous quarter, it was down 1.1 per cent. In dollar terms, the Ebitda was at $63.2 million, up 32.3 per cent YoY from $47.7 million.

The Ebit for the quarter, on the other hand, was Rs 391.3 crore and $53.5 million, up 38 per cent and 39 per cent YoY, respectively.

Mindtree's Ebitda margins improved from 17.1 per cent to 21.9 per cent over one year but were down from 23.1 per cent on a quarterly basis. Ebit margin too came under pressure on a sequential basis from 19.6 per cent to 18.6 per cent. In Q4FY20, it,however, was 13.8 per cent.

Segment-wise revenue

The Technology, Media and Communications segment contributed nearly half of the firm's total revenue, which was followed by Retail, CPG and Manufacturing segment (22.4 per cent), and BFSI segment (18.4 per cent).n

In absolute terms, Tech, Media and Communications generated revenue worth Rs 881.6 crore, while Retail, CPG, Manufacturing and BFSI generated revenue worth Rs 416.4 crore and Rs 419.5 crore, respectively.

Source: Financial statement.

Deals and contracts
The IT firm's total contract value (TCV) at the end of Q4FY21 stood at $375 million, down from $393 million YoY.

"Healthy order book of $1,382million with a growth of 12.3 per cent for FY21," it said in a statement.

The firm announced a final dividend of Rs 17.5 per share. Ahead of the result, shares of the firm ended 0.17 per cent higher at Rs 2,067.6 apiece on the BSE.