Shares of information technology services provider Happiest Minds jumped 6% on Tuesday after the company announced its new vertical organisation structure comprising six new industry groups.
The tech services firm plans to garner $1 billion in revenues by 2031, it says in a regulatory filing.
Reacting to the development, shares of Happiest Minds surged 6% to hit intraday high of ₹888.9 over its previous close of ₹834.75 on the National Stock Exchange (NSE). The stock has gained just 3% over the past year but declined 3.5% on a year-to-date basis. The company’s market cap stands at around ₹13,300 crore.
“The potential of this new structure is immense and will be the bedrock of new growth engines, enabling us to compete better in the global markets and realize our vision of reaching $ 1 billion in revenues by 2031,” says Ashok Soota, executive chairman, Happiest Minds.
The six new industry groups include Industrial, Manufacturing and Energy & Utilities, Healthcare & Life Sciences, Retail, CPG and Logistics, Banking, Financial Services, and Insurance (BFSI), Hi-Tech and Media & Entertainment, and EdTech.
“This verticalization is a major event in the evolution and growth of Happiest Minds changing the foundations of our organization structure, while significantly augmenting our sales prowess and accelerating growth,” says Joseph Anantharaju, executive vice chairman and CEO (PDES).
“Each Industry Group (IG) will have dedicated teams with deep domain expertise, allowing for customized solutions, and faster response times thus enhancing our agility and driving innovation leading to increased customer happiness and sustainable growth,” Anantharaju adds.
“Each new Industry Group is led by an IG Head, and is responsible for the P&L, selling Generative AI Business Services (GBS) to existing and potential accounts, along with Product & Digital Engineering Services (PDES) and Infrastructure Management & Security Services (IMSS). Being a market-facing leadership role, the IG Head owns the IG strategy, business plan, GTM, sales, domain capability, and overall customer and people happiness. Each IG Cluster will have dedicated teams with deep domain expertise, specialist BDMs for existing account growth, and in-house consulting capabilities,” the IT firm says in a statement.
Net profit of Happiest Minds rose 3.5% year-on-year to ₹59.6 crore for the quarter ended December. The IT services company's revenue from operations for the third quarter rose 11.7% at ₹410 crore compared with ₹367 crore in the corresponding period last year. Earnings before interest, tax, depreciation, and amortisation (EBITDA) in the December quarter jumped 8.2% to ₹105 crore as against ₹97.2 crore in the year-ago period.
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