Happiest Minds Technologies Ltd shares saw a sharp uptick during Tuesday's fag-end trade even as the sell-off in domestic benchmarks intensified. The stock eventually settled 7.73 per cent higher at Rs 717.
Today's spike came after the company, in an earnings call, said it is all "set to report best performance since the initial public offering (IPO)." The company was listed at exchanges in September 2020.
Ashok Soota, Executive Chairman at Happiest Minds, said, "Happiest Minds has reported another quarter of strong deal momentum and performance with a revenue growth of 28.2 per cent year-on-year in constant currency, and we are set to report our best performance since the IPO in absolute terms. We launched four transformational initiatives this year, which included the acquisitions of PureSoftware and Aureus. The success of the same is evident from our year-over-year growth."
"The other three initiatives will accelerate our organic growth in the year ahead. These initiatives are the creation of the GenAI business unit, verticalization into six industry groups and induction of our Chief Growth Officer," he added. In May last year, Soota underscored that FY25 is poised to be the company's best-ever year since its IPO.
Venkatraman Narayanan, Managing Director and Chief Financial Officer at Happiest Minds, said, "Going forward into the next year, this will be the base, and the expectation is to continue the organic growth. We have said that we will be at least 1 to 1.5x market, which is what we have set as a long-term growth target. This is something that we had set out even at the time of our IPO, and we continue to hold on to that."
Narayanan believes to close the year with margins to be in a guided range of 20 per cent to 22 per cent. "Middle East will become a significant contributor over the next year, and we will be making more investments in the region," he further stated.
Joseph Anantharaju, the company's Executive Vice-Chairman and CEO (Product), highlighted that the BFSI (banking, financial services, and insurance) segment was the best-performing segment for us last quarter.
"I would attribute a big part of that to the Arttha banking platform because we were able to close two deals, finish the implementation and the recognition of those revenues is what has led to quite a bit of the growth that we see in the BFSI vertical. The organic pipeline that PureSoftware has for Arttha banking platform continues to be good, and it should be one of the contributors to our growth and to the growth of the BFSI segment during this quarter. We have taken a strategic view to Arttha, and we've put together a couple of task forces," he stated.
As of December 2024, promoters held a 44.22 per cent stake in Happiest Minds.