Happiest Minds Technologies: Happiest Minds profit dips 15.3% on salary hikes, investments

Share This Post

[ad_1]

Mid-sized technology services player Happiest Minds Technologies reported a 15.3% year-on-year (YoY) fall in net profit at Rs 49.5 crore for the September quarter (from Rs 58.5 crore a year ago) dented by higher investment costs during the quarter. Sequentially, the profit fell 3% from the first quarter’s Rs 51 crore profit.

Revenue for the second quarter jumped 28.3% YoY and 12.5% quarter-on-quarter (QoQ) to Rs 521.64 crore.

The drop in profit was primarily due to salary increments for most of its employees rolled out from July 1, impacting 2.30% of its profitability, the addition investments towards its new sales team and into its GenAI business.

“For the quarter, the GenAI investment was between Rs 9-10 crore. Cumulatively, between last quarter and this quarter, we have made an investment of about $2 million (around Rs 16 crore),” said Venkatraman Narayanan, MD & CFO at Happiest Minds Technologies.

Ashok Soota, executive chairman, said, “These changes include the acquisition of PureSoftware and Aureus, the creation of our GenAI Business Unit (GBS), hiring a senior leader to expand net new sales, and creating six industry groups, each headed by manager. The full impact of all these changes on revenue and growth will become visible in the quarters ahead.”


Its operating margin for the quarter dipped to 17.9% from 19.8% in previous quarter and 20.8% a year ago. Without the investments, the EBIDTA margin stood at 21.7% as against 23.9% in Q1FY25 and 24.4% in Q2FY24.

Discover the stories of your interest


The company’s board proposed an interim dividend of Rs 2 per equity share, with the record date set at November 26.On Thursday, the stock ended lower by 1.9% at Rs 735.70 apiece on a 0.14% weaker BSE Sensex.

[ad_2]

Source link

spot_img

Related Posts

WitchSpin Casino’s Magical Theme: A Unique Gaming Experience

Online casinos today are not just about winning money....

Norwegian Tourists’ Favorite Online Gaming Destinations for Vacation

As the world becomes increasingly interconnected, many Norwegian tourists...

Non-Disclosure Agreement for Franchise Opportunity Discussions

When discussing franchise opportunities, both the franchisor and potential...

ZF 8HP50 Vaidmuo Hibridiniuose ir Elektriniuose Automobiliuose

ZF 8HP50 yra pažangiausia aštuonių pavarų automatinė transmisija, kuri...

Dating Men in Their 30s: What Changes and What Stays the Same

Navigating the world of relationships can be a unique...

The Calorie-a-Day Strategy: Balancing Nutrition and Weight Loss

When it comes to weight loss, the approach to...
spot_img