Revenue from operations grew by 3.03% to Rs 377.98 crore in Q4 FY23 over Q3 FY23.

On a year on year (YoY) basis, the firm's net profit rose 10.7% while revenue jumped 25.8% during the quarter.

Profit before tax was at Rs 78.93 crore in quarter ended 31 March 2023 (up 4.9% quarter on quarter (QoQ) and up 13% YoY).

EBITDA rose 3.5% QoQ and 23.3% YoY to Rs 100.62 crore in Q4 FY23. EBITDA margin remained unchanged at 26% in Q4 FY23 as compared to Q3 FY23 whereas, in Q4 FY22, EBITDA margin stood at 26.3%.

Revenue in constant currency increased by 1.3% QoQ and 17.6% YoY. In dollar terms, the company's operating revenue stood at $46 million during the quarter, rising 1.4% QoQ and 15.2% YoY. Free cash flows during Q4 FY23 stood at Rs 99.46 crore.

The company had 4,917 employees as of 31 March 2023, with a net addition of 306 people in Q4 FY23. The trailing 12-months attrition was at 19.8%. The utilization rate in Q4 FY23 stood at 74.6% as against 80.1% during the last quarter.

Happiest Minds added 16 new clients in the quarter ended 31 March 2023 taking the tally to 237 total clients.

On full year basis, the company's consolidated net profit surged 27.5% to Rs 230.99 crore on 30.7% jump in revenues to Rs 1,429.29 crore in FY23 over FY22.

Ashok Soota, executive chairman, said “We have missed our revenue growth target by 1.3% due to the right-shifting of some Q4 revenues. This has been more than compensated by delivering an EBITDA which exceeded the upper band of our guidance of 22 to 24%. In view of our strong business pipeline, we are planning a record people addition of 1,300. Accordingly, we are retaining our FY24 revenue guidance growth at 25%.”

Venkatraman N, MD & CFO, said “Our excellent results both in terms of growth and profitability reflect our operating strengths. This is the 12th successive quarter where we have reported EBITDA of more than 25%.”

Joseph Anantharaju, executive vice chairman, said “Our compelling value proposition and effective land and expand strategy has led to good performance on our customer metrics. The average revenue per customer and the number of billion-dollar corporations have shown consistent progression during the fiscal. We saw a marked improvement in pipeline and deal velocity in the second half of the quarter setting us up well for the first quarter and FY24.”

Meanwhile, the company board has recommended a final dividend of Rs 3.40 per equity share for FY23, subject to the approval of the members at the ensuing AGM.

Further, the board of directors of the company has approved allotment of 4,500 rated, listed, negotiable, unsecured, redeemable nonconvertible debentures, aggregating to Rs 45 crore, through private placement basis.

The firm said that the funds would be utilized towards the general corporate purposes of the company.

Happiest Minds Technologies is a next-generation digital transformation, infrastructure, security and product engineering services company.

Shares of Happiest Minds Technologies rose 0.70% to Rs 861.65 on the BSE.