Mindtree slips 3% on disappointing Q3 numbers

NEW DELHI: Shares of Mindtree came under pressure in Friday’s trade following less-than-expected December quarter results the firm reported the previous day.

The Bengaluru-based firm has reported 26.7 per cent drop in net profit to Rs 103.1 crore, hurt by cross-currency headwinds, seasonality of business and lower profitability from its Bluefin and Magnet 360 businesses.

The midcap IT firm had posted a net profit of Rs 140.7 crore in the corresponding quarter of last year.

Following the results, the stock fell 2.76 per cent to hit a low of Rs 471.45 on BSE. At the prevailing price, the scrip is trading at 14.44 times its trailing 12-month EPS and 3.33 times its book value.

The company said its revenue advanced 7.1 per cent to Rs 1,295.3 crore in the third quarter, compared with Rs 1,209.5 crore in the same quarter last year.

The company added its first client in the $100 million category, while it added one client in the over $10 million category during the quarter gone by.