Happiest Minds reports staffing issues, but expects 25% revenue growth this year

Happiest Minds Technologies, a digital transformation and IT consulting company, said it faced staffing issues amidst new deal wins. While the company acknowledged certain challenges, Happiest Minds also expressed confidence as it reported no cancellations or postponements within its customer base.

In an interview with CNBC-TV18, Venkatraman Narayanan, MD and CFO, said, “We have not seen any cancellations, and we have not seen any postponements as of now, in fact, in a couple of large deals that we have signed in Q4 (FY23), we are having staffing issues in terms of getting people and ramping up to the required numbers.”

Talking about growth, Narayanan said, “We will do 25 percent growth in the current year as well and that is the guidance we have given as of now and we are not changing it; we are holding on to that while holding on to the EBITDA guidance of 22-24 percent.”

While talking about fundraising, he said, “It is essentially dependent on markets and pricing is also market dependent because it's formula driven. So, there is some bit of work that is happening and hopefully, we will have some closure on that.”

 

Joseph Anantharaju, Executive Vice Chairman and CEO of Product Engineering Services said that customers were displaying a cautious approach towards large deals.

Anantharaju said clients were adopting a slower approach to finalising significant business agreements. “Given the current economic environment, in some of the large deals, customers are going slow on that and they are looking more at the small to mid-size deals,” he said.

Despite the staffing challenges and the cautious approach to large deals, Happiest Minds Technologies remains optimistic and focused on its growth trajectory.

The company said it is continuing to invest in talent acquisition and development to bolster its capabilities.