MINDTREE Mid Cap IT Company Stock Results

A mid cap IT company, it was in news after the Satyam scam broke out and there was wide spread speculation that it would be taking over Satyam. The company immediately issued a press release and culled the rumours. But the results it presented for the third quarter ended 31st Dec 2008 were much below expectations. It incurred huge forex losses of Rs.65.79 crore and this obviously pulled down the bottomline right to where it belongs

The company has posted a not-so-good set of results for the third quarter ended 31st Dec 2008. Its software revenues grew by 16.6% on a QoQ and 93.4% on a YoY at Rs.363.80 crore. EBITDA for the quarter was up 28% on a QoQ and showed a YoY growth of 251.6%. But then the forex loss came in and spoilt the party. Net profit was at Rs 8.72 crore, compared with Rs 35.13 crore in the previous quarter, a massive fall of 75.2%.

During the quarter, 22 new customers were added taking the active customer base to 260. It added 299 people on a gross basis during Q3, taking our total people strength to 5,826 as of December 31, 2008.

The guidance is down as it expects slower growth in the year ahead due to the economic crisis affecting its clients. thanks