Happiest Minds Technologies' share zoom 14%, trade high for 5th day

At the end of March, the company announced ‘Born Digital. Born Agile’, a digital transformation and IT solutions company along with Alyne and said that it had delivered a digital transformation platform for Cutover UK.

Shares of Happiest Minds Technologies rallied 14 per cent, hitting a new high of ₹675 on BSE Sensex on Monday in intra-day trade. With this, the stocks of the company were trading higher for the fifth straight day, rising almost 30 per cent during this period. Within the past three months, the stock of the company has soared 96 per cent.

Within the past three months, the stock of the company has soared 96 per cent.(Shutterstock)

At the end of March, the company announced ‘Born Digital. Born Agile’, a digital transformation and IT solutions company along with Alyne and said that it had delivered a digital transformation platform for Cutover UK. In March itself, rating agency India Ratings and Research (Ind-Ra) upgraded the company’s long-term issuer rating with positive outlook which was based on a significant increase in the operating margins of the company and good cash flow in the company from operations as well as initial public offering (IPO). This led to an improvement in the liquidity position of the company.

Happiest Minds Technologies also acquired US-based Houston-based Pimcore Global services for $8.25 million in January. Pimcore Global Services is a digital e-commerce and data management solutions company. According to Happiest Minds’ regulatory filing, the acquisition is aimed at strengthening the offerings of the company in the digital transformation space.

The company’s IPO debuted on the bourses in September last year at a bumper premium of 111.4 per cent over its price and raised ₹702 crore during September 7-9. In FY20, Happiest Minds Technologies earned 97 per cent of its revenue from digital offerings and close to 88 per cent of the projects through the agile delivery methodology. The company has 148 active clients of which 36 are Fortune 200 companies.

According to a statement by the company, it generates revenues from three business units which are digital business services, product engineering services and infrastructure management and security services. These units contributed 26 per cent, 53 per cent and 21 per cent respectively to the revenue reported by the company in the June 2020 quarter.