Mindtree shares tank nearly 11% on disappointing Q1 results; company posts 41% drop in net profit

  • Mindtree exuded confidence in delivering above-industry growth rates in 2019-20

  • Mindtree's revenues rose 11.9 percent to Rs 1,834.2 crore in the June 2019, quarter as compared with Rs 1,639.5 crore in the year-ago period

  • On a sequential basis, Mindtree saw its net profit decline 53.3 percent from Rs 198.4 crore in March quarter, while revenue declined marginally from Rs 1,839.4 crore in the fourth quarter

New Delhi: IT firm Mindtree shares plunged nearly 11 percent on Thursday after the company posted a 41.4 percent decline in consolidated net profit for the June quarter.

Shares of the company tanked 10.22 percent to Rs 675.05 -- its 52 week low -- on the BSE.

At the NSE, it tumbled 10.62 percent to a one year low of Rs 670.95.

 Mindtree shares tank nearly 11% on disappointing Q1 results; company posts 41% drop in net profit

Representational Image. Image Courtesy: Facebook/Mindtree

Mid-sized IT firm Mindtree on Wednesday posted a 41.4 percent decline in consolidated net profit to Rs 92.7 crore for the June quarter, but exuded confidence in delivering "above-industry growth rates" in 2019-20.

The company, which has been in limelight over its hostile takeover by construction major Larsen and Toubro (L&T), had registered a net profit of Rs 158.2 crore in the corresponding period of the previous financial year.

Mindtree's revenues, on the other hand, rose 11.9 percent to Rs 1,834.2 crore in the June 2019, quarter as compared with Rs 1,639.5 crore in the year-ago period.

On a sequential basis, Mindtree saw its net profit decline 53.3 percent from Rs 198.4 crore in March quarter, while revenue declined marginally from Rs 1,839.4 crore in the fourth quarter.

Updated Date: Jul 18, 2019 12:10:37 IST