MindTree : Revenue growth of 2.3% Q-o-Q and 24.8% Y-o-Y in dollar terms; Recommends interim dividend and 1:1 issue of bonus shares 18 January '16

Bangalore (India) and Warren (NJ) - January 18, 2016 -Mindtree, a global technology services company, announced its consolidated results today for the third quarter ended December 31, 2015, as approved by its Board of Directors.

'We saw good revenue growth in Q3 as we continue to strike the right chord with our clients. This broad-based result reflects the ongoing momentum of our key focus areas such as Digital and Managed Services. Those initiatives combined with our recent acquisitions and deal wins are creating a clear path to further our growth trajectory' said Krishnakumar Natarajan, CEO & Managing Director, Mindtree.

Key financial highlights:

• In USD terms:
  • Revenue at $184.4 million (growth of 2.3% q-o-q / 24.8% y-o-y). Constant currency revenue growth of 3% q-o-q
  • Net profit at $22.8 million (decline of 5.9% q-o-q / growth of 0.2% y-o-y)
• In Rupee terms:
  • Revenue at ₹ 12,145 million (growth of 3.9% q-o-q / 33.2% y-o-y)
  • Net profit at ₹ 1,509 million (decline of 4.6% q-o-q / growth of 7.2% y-o-y)

Other highlights:

• Clients:
  • 294 active clients as of December 31, 2015
• Employees:
  • 16,243 employees as of December 31, 2015
  • Added 1,306 employees during the quarter on a gross basis
  • Trailing 12 months attrition is at 16%.
• Multi-year and multi-million dollar wins with leading global clients
  • Leading travel management company. For this existing client, Mindtree will provide application development and support services
  • Global manufacturing and engineering company. Mindtree will provide infrastructure management services
  • International financial institution. Mindtree will provide IT services in multiple areas
• Awards and recognition:
  • Mindtree named in the leadership zone in Zinnov's Global Product Engineering Service Provider Ratings for the fourth time in a row
  • Mindtree has won the 'Best Corporate Governance - Technology - Asia - 2015' by the Ethical Boardroom Corporation, for having exhibited exceptional leadership in the area of governance
  • Krishnakumar Natarajan, CEO & Managing Director, Mindtree has been named among India's Top 100 CEOs in an annual study conducted by Business Today and PwC
  • Mindtree has been placed among the top ten BEST Award Winners by the Association for Talent Development for its innovative talent development initiatives
• Issue of bonus shares:
  • The Board of Directors at their meeting held on January 18, 2016 recommended an issue of bonus shares in the ratio of 1:1, i.e. one additional equity share for every existing equity share. This is subject to shareholders approval. Bonus shares will be credited to the shareholders after completion of statutory formalities and within the prescribed statutory timelines. This is the second bonus shares issue in the last 2 years
• Dividend announcement:
  • The Board of Directors, at its meeting held on January 18, 2016 recommended an interim dividend of 40% (₹ 4 per equity share of par value ₹ 10 each) for the quarter ended December 31, 2015

Safe harbour

Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks, and uncertainties that could cause our actual results to differ materially from those in such forward-looking statements. We do not undertake to update any forward-looking statement that may be made from time to time by us or on our behalf.