Mindtree Limited is a global technology consulting and outsourcing company headquartered in Bangalore, and New Jersey, USA. It is a part of the Larsen & Toubro group providing worldwide employment.
Their products and services include Connected Buildings, Training and Micro Learning, Digital Services, Consulting, Engineering Research and Development, Enterprise Software across diverse industries.
They are equally active in CSR initiatives, which include, improving lives of challenged people, enhancing quality of primary education, supporting medical education of the underprivileged students in association with Narayana Hrudayalaya Charitable Trust, simplifying waste management process in Bengaluru, organizing various donation camps etc.
INFORMATION TECHNOLOGY BUSINESS IN INDIA
• India is one of the topmost off-shoring destinations for Information Technology companies across the world. With proven capabilities in delivering both on-shore and off-shore services, promising technologies now offer assortment of opportunities to software firms in India.
• It is the world's largest sourcing destination of technical graduates. The industry’s revenue is estimated at around US$ 191 billion (approx) in FY20 & growing at 7.7% (approx) which is estimated to reach US$ 350 billion (approx) by 2025.
• The sector has attracted cumulative FDI worth US$ 44.91 billion (approx) during the last decade, along with Private Equity and Venture Capital. It is expected to contribute around 10% (approx) to country’s GDP by 2025. Total export revenue of the industry is expected to grow by 8.1% (approx) in FY20 generating maximum employment.
• The Government of India has extended tax holidays to the STPIs and SEZs and has released National Policy on Software Products 2019 to develop India as a software creating nation.
• In the wake of Covid-19 catastrophe, Government of India’s milestone policy Science, Technology and Innovation 2020 will facilitate the sector in multiple ways.
COMPANY PRESPECTIVE & REVIEW
• The survival and success of the Indian Technology industry in a post-COVID-19 world depends, somewhat on whether it is able to maintain linkages with international clients by adapting its business practices and processes to the new normal in the abs¬ence of limited movement and relocation.
• Central and State governments can play a crucial role by providing maximum incentives and protection to the sector. Geographically and technologically distant organisations can shape and share uniform operating procedures to achieve their business goals. An all-encompassing and empowering management style and a committed app¬roach to knowledge management will also go a long way in building relations.
• At this juncture, with their presence in the world's most digitally advanced and dynamic markets, Mindtree is developing comprehensive understanding of their customers’ requirement to devise solutions that can address their specific digital transformation needs.
• For the FY March 2020 Mindtree has declared an equity dividend of 130.00% amounting to Rs 13 per share and has consistently confirmed dividends for the last 5 years.
• The Profit and Loss metrics of the company shows growth in revenue at a CAGR of 13.5% (approx). Balance Sheet metrics shows increase in net worth at a CAGR of 7% (approx). Return on Capital Employed by the company shows efficient use of resources while Debt Equity Ratio gives an idea about bare minimum borrowings.
• The company’s order book is already 10% higher than H1 last year and with a strong deal pipeline, it is expected to continue the growth momentum in the 2nd half of FY 2020-21.
• The situation at present is creating an exceptional level of uncertainty around the globe. Therefore the company is devising strategies continuously to handle the crisis, ensuring health and safety of their employees with no disruption to customer’s deliverables.
• To summarize, with remote working practices, mechanization and robotics, Mindtree is prepared to function efficiently without any anomaly all through this critical phase.