Mindtree shares tank nearly 11 pc on disappointing Q1 results

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. Mid-sized IT firm Mindtree 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 June 2019, a quarter as compared with Rs 1,639.5 crore in the year-ago period.

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