MindTree FY07 net up 66% to Rs 90cr

IT and R&D services company MindTree Consulting, which was listed recently on the Bombay Stock Exchange and the National Stock Exchange (BSE and NSE), has registered a net profit of Rs 90.05 crore for the financial year 2006-07 - an increase of 66.1%. Revenue increased 31.5% to Rs 590.35 crore.

The company attributed the growth in revenue to the "good demand environment" for IT and R&D services. The company added 17 new clients during Q4FY07 to take the active customer base to 155 including 36 Fortune 500 companies. While the top customer contributed 9% of the revenue, the top five customers accounted for 37% of the income. The company's operating profit increased 64.6% to Rs 82.20 crore.

During the fourth quarter of 2006-07, the company's net profit was Rs 24.54 crore while revenue touched Rs 156.56 crore.

In 2007-08, MindTree is aming at $178-180 million in revenue, indicating a growth of 36% at the higher end. Net profit is expected to be in the range of $25.1 million to $25.2 million, a growth of 26.4% at the higher end. The guidance is on the basis of Rs 42.25 per dollar.

MindTree Consulting chairman & managing director Ashok Soota said: "At the beginning of the year, we set for ourselves the '90:15 objective'. It meant satisfaction rating of 4 or higher on a scale of 5 from 90% of our customers and 15% in profit after tax. We are glad that we achieved our objectives on both the fronts. Both our businesses and industry verticals and practices contributed to the strong growth in 2006-07."

The total number of employees increased  to 4,162 at the end of the year, a net addition of 1,034 people during the fiscal. It intends to hire 1,600 professionals during FY2007-08.