Information technology services and outsourcing company Mindtree’s net profit rose 37.2% in the third quarter ended December on the back of growth in the digital and hospitality business.
Net profit increased from ₹1.03 billion in the December 2016 quarter to ₹1.42 billion in Q3 of 2017-18, according to a filing on the BSE on Wednesday. Revenue grew 6.4% year-on-year to ₹13.8 billion.
Digital leadership
“These strong results also reflect our ongoing leadership in digital, and our unique ability to be the core digital anchor-partner for next-generation digital transformations,” said Rostow Ravanan, CEO & managing director, Mindtree. More than 40% of revenue came in from the digital business, Mr. Ravanan said during a conference call.
Digital business grew 7.1% quarter-on-quarter and 24.2% year-on-year. Travel and hospitality sector shot up by 9.3% while retail, consumer packed goods and manufacturing grew 5.8%.
Independent testing registered a growth of 8.4% quarter-on-quarter and 11.7% year-on-year.
The company had “multi-year, multi-million dollar” global client wins in providing digital transformation, quality assurance and technology operations services for a leading industry association in the education sector and to provide managed services for a leading technology company, according to the filing.
It also won a deal to act as an anchor digital partner for an enterprise-wide transformation initiative for a large beauty care company.
The board has recommended an interim dividend of 20% (₹2 per equity share of par value of ₹10 each).
