On January 17, 2024, Happiest Minds Technologies Limited (BSE, NSE: HAPPSTMNDS) announced its Q3 2023-24 results, recording robust quarterly performance with top industry Revenue growth at 11.7% YoY, simultaneously beating EBITDA guidance for the 15th quarter in its history. EBITDA for Q3 stands at a growth of 8.2% YoY reaching ₹ 105 Cr.
Additional Read: Q3 Results Dashboard
Table of Content
General Result Takeaways
Here are the overall highlights of Q3 results, as the Company has posted some figures in USD while others are registered in INR:
- For Q3, the Revenue in terms of constant currency increased by 0.8% QoQ and 9.4% YoY.
- In the third quarter of FY24, Operating Revenues in USD stood at $49.4 million, registering a growth of 0.5% QoQ and 9.0% YoY.
- The Company announced the Total Income for Q3 at ₹43,417 lakh, registering a growth of 1.2% QoQ and 15.9% YoY.
- The Company announced an EBITDA of ₹10,519 lakh, making up 24.2% of the Total Income, marking a growth of 0.4% QoQ and 8.2% YoY.
- In Q3, PAT stood at ₹5,962 lakh, marking a growth of 2.0% QoQ and 3.6% YoY.
- In Q3 FY24, the Company reported Free cash flows of ₹9,894 lakh.
- The diluted EPS for the quarter stood at ₹3.96.
Additional Check: Happiest Minds Technologies Share Price
Q3 Result Details from the Management Commentary
The Executive Chairman of Happiest Minds Technologies Limited had some key details of the results to share and these are mentioned below:
- Q3 results reflect the resilience of a strong business model followed by the Company, which has continued to deliver industry-leading revenue in a tough quarter.
- The sales engine of the Company has been strengthened to create a concentrated Generative AI Business segment.
- With effect from April 1, 2024, the Company will be establishing 5 Industry Groups. These will operate as independent profit centres and be led by specialised industry managers.
- Such changes will enhance the growth of the Company in the future.
Financial Results at a Glance
Here is a glimpse of the consolidated financial results of Q3 (figures in ₹ Lakh except where indicated by %):
| Metrics | Q3 FY 2023-24 | Q2 FY 2023-24 | QoQ % Growth | Q3 FY 2022-23 | YoY % Growth |
| Revenue | 40,988 | 40,662 | 0.8% | 36,688 | 11.7% |
| Total Income | 43,417 | 42,883 | 1.2% | 37,468 | 15.9% |
| EBITDA | 10,519 | 10,482 | 0.4% | 9,726 | 8.2% |
| Profit After Tax (PAT) | 5,962 | 5,846 | 2.0% | 5,758 | 3.5% |
Q3 FY24 Result Summary
Happiest Minds Technologies Limited enables key digital transformation for organisations in the engagement of providing technology by the smooth delivery of business efficiency, customer experiences, and actionable outcomes. The Company is engaged in the function and operation of disruptive technologies like artificial intelligence, cloud, blockchain, and other advanced technologies. The Company has capabilities that run the gamut of Generative AI Services, Digital Engineering and Product Management, and Security Services, among others. The Company has also ventured into the sector of infrastructure and its management. The clients of the Company comprise a range from the sectors of BFSI, automotive, e-commerce, R&D, etc. The Company has its headquarters in Bangalore but has global operations across countries.
In Q3, the Company reported an agile and relatively successful quarter, its 15th quarter of beating EBITDA guidance. The management has stated that the success of growth in Q3 results is despite global headwinds and salary hikes within the Company. Besides this, Q3 witnessed the Company investing in new technologies to boost its operations. In Q3, the Company also boasts 10 new clients to add to its already client-heavy base, increasing the customer count to 59. Apart from key achievements in financial metrics for Q3, the Company has bagged accolades and recognitions as being one of the best places to work, among other credits. With prominent project wins and deals signed, the Company is ready for the upcoming quarters, displaying positive prospects for future success in quarters ahead.
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