Happiest Minds Technologies fell 1.13% to Rs 326.60, extending losses for the second consecutive session.
Shares of Happiest Minds Technologies skid 6.65% in two trading sessions from a recent closing high of Rs 349.90 hit on 4 November 2020.
The company posted its first earnings after listing on the exchanges. On a consolidated basis, the firm's net profit slipped 32.08% to Rs 34.08 crore on 3.28% increase in net sales to Rs 182.84 crore in Q2 September 2020 over Q1 June 2020.
Profit before tax (PBT) advanced 4.48% to Rs 42.67 crore in Q2 September 2020 as against Rs 40.84 crore in Q1 June 2020. Current tax expense for the quarter tumbled 19.85% to Rs 6.82 crore as against Rs 8.51 crore in Q1 June 2020. The Q2 result was declared after trading hours on Wednesday, 4 November 2020.
EBITDA grew 3.3% to Rs 49.39 crore in Q2 FY21 from Rs 47.82 crore in Q1 FY21. EBITDA margin improved to 26.3% in Q2 FY21 over 25.6% in Q1 FY21.
Ashok Soota, the executive chairman of Happiest Minds Technologies, said: "We are happy to report a good all-round performance this quarter and this is a testimony of our digital focus, agility and commitment to all our stakeholders."
Venkatraman Narayanan, the executive director & chief financial officer (CFO) of Happiest Minds Technologies, stated: "In our business we continue to build depth and capabilities in the digital services space results of which are visible. Despite the environment we have shown growth in revenues on a sequential basis and bettered our EBITDA both sequentially and on a year over year basis. On PAT, in the immediately preceding quarter instead of a provision for Income-tax we had a one-time credit for deferred taxes and from the current quarter we have reverted to normal provisions."
As of 30 September 2020, the company had 152 clients with 8 clients added during the quarter. Happiest Minds Technologies had 2,721 employees as of 30 September 2020, with a net addition of 63 during the quarter. Trailing 12 months attrition stood at 14.1% while utilization rose to 78.7% from 74.9% in Q1 FY21.
The company announced that its board has approved the appointment of Joseph Anantharaju as the executive vice chairman and the appointment of Venkatraman Narayanan as the managing director (MD) & chief financial officer (CFO) of the company.
Shares of Happiest Minds Technologies were listed on the stock exchanges on 17 September 2020. The stock was listed at Rs 351, a premium of 111.44% to the initial public offer (IPO) price of Rs 166 a share. The company's IPO was subscribed 150.98 times. The issue opened for bidding on 7 September 2020 and closed on 9 September 2020. The issue price was set at the top end of the Rs 165-166 per share IPO price band.
Bengaluru-based Happiest Mind Technologies is an IT services provider. It is founded by IT veteran, Ashok Soota. Prior to founding Happiest Mind, Ashok was the founding chairman and managing director of MindTree. He was the vice chairman of Wipro and senior vice president of Shriram Refrigeration Industries prior to co-founding MindTree.
Happiest Mind enables digital transformation for enterprises and technology providers. It leverages a spectrum of technologies such as: Big Data Analytics, AI & Cognitive Computing, Internet of Things, Cloud, Security, SDN-NFV, Blockchain, Automation including RPA, etc.
The company's capabilities spans across product engineering, digital business solutions, infrastructure management and security services. It delivers these services across industry sectors such as retail, edutech, industrial, BFSI, hi-tech, engineering R&D, manufacturing, travel, media and entertainment, and others.
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