Mid-tier IT firm Happiest Minds Technologies is seeing growth opportunities in the India market, as various industries in the region are in early stages of digital maturity. The company is also bullish on driving growth from its new Generative AI business unit in the near future, said top company executives. “We have expectations from the India geo, as the numbers have been trending up over the last four years in terms of market share as well as absolute revenues. The macro economic environment as well as the early stages in which the various industries are in terms of digital maturity, will lead to more opportunities,” Joseph Anantharaju, Executive Vice Chairman told the .
On a broader market level, the company is seeing uncertainty surrounding budget allocations for the current year in the US market. Companies are delaying announcements about their decisions until the end of January and the success of their pipeline depends on the funding of various initiatives. Further In Europe, it notes that there has been a cautious approach for the past two years, but there is a need for investments to remain competitive globally.
Continued opportunities
In terms of industry verticals, it sees continued opportunities in the healthcare, manufacturing and Consumer Packaged Goods (CPG) sectors. Happiest Minds is also bullish on achieving growth with its new Generative AI part of the business. “We are feeling quite bullish about Generative AI, having made the investments and putting it out as a separate business unit. We’ve had 30 conversations in Q3 with multiple customers, and have started on six or seven POCs or consulting exercises, and we expect this to translate into larger implementations in FY 25,” Anantharaju said.
In Q3, the company’s margins stood at 24.2 per cent, flattish growth from last quarter. Venkatraman N, MD & CFO, said that the company is looking at leveraging multiple levers such as volume growth, better utilisation, reduced subcontractor costs, and stabilising attrition to further expand the margins and maintain the guidance of 22 to 24 per cent.