MindTree Q1 revenue up 37.6%, incurs Rs 12.96 cr net loss

Bangalore, July 16 (UNI) Keeping abreast with the guidance, MindTree Limited, a global IT and R and D services company, has achieved a 38.7 per cent growth in its revenue on YoY basis during the first quarter ending June 30.

However, the company incurred a loss of the Rs 12.96 crore during the quarter due to Rupee depreciation. During the same period last year the net profit was at Rs 20.62 crore, a company release here said.

The company achieved a total revenue of Rs 222.21 crore in the first quarter, against Rs 161.50 crore during the corresponding period last year. However, it could not maintain the profit margin which was at Rs 23 crore during the previous period as it had lost Rs 50 crore in hedging against the rupee appreciation.

On quarter-to-quarter basis the company's revenues grew by nine per cent against the revenues earned in the fourth quarter last year.

''The sudden depreciation of rupee resulted in a provision of 12 million US Dollars on MindTree's outstanding derivative instruments. Consequently, we reported a net loss of 3.2 million US Dollars for the quarter. We expect this provision to reverse during subsequent quarters,'' company CEO Krishnakumar Natarajan said.

He said the results were satisfying as amidst the global economic conditions, MindTree had managed to show impressive revenue growth.

''We continue to see good traction for both IT Services and R and D Services business and are confident of achieving our revenue and profit guidance for the year,'' he said.

MindTree had set a guidance of 228 US Dollars and 238 million US Dollars for the year 2008-09 and a bottom line of 31.72 million US Dollars and 33.1 million US Dollars.

UNI RS SJ 1937