Mindtree's Q3 profit after tax (PAT) beat street as margins and other income rose quarter-on-quarter (QoQ). However, revenue growth was lower than estimates and the deal wins declined 33 percent QoQ. Debashis Chatterjee, the managing director and CEO of Mindtree, spoke on the factors that impacted revenue growth in an interview with CNBC-TV18.
“It is a seasonal quarter and this quarter has got a lot of furloughs and it is expected that it will be a little softer than the other quarters. From that perspective, we are okay. I don’t think there is any significant impact on the revenues,” he said.
About company’s objective, Chatterjee said: “We want to focus on strategic clients and we want to channelize all our energies in terms of strategic clients. So that is one of the ways of developing the customer focus.”
On deal wins, he said, “We are definitely focusing on the strategic deals. Seasonality and some decision-making process is deferred and we are expecting closures in the coming quarters.
“We have been talking about expanding the margin and in lieu of that we have put up a plan and we can only say that whatever margin improvement we have done, it is sustainable."
On retail, and banking, financial services and insurance (BFSI) segment, he said: “We have done well in hi-tech media and there has been good traction in terms of insurance, there has been good traction in terms of consumer goods and I am confident that the other verticals also will develop tractions as we go along.
“Given our client portfolio, which we monitor very closely, the top 10 clients have grown, which means that within our client portfolio, we are very confident we can grow our strategic client portfolio,” added.