Mindteck Reports Results for the Financial Year 2019-20

Business Wire India
Mindteck (India) Limited (BSE: 517344 and NSE: MINDTECK), the global engineering and technology solutions company with niche knowledge and expertise in the storage, medical device, semiconductor and analytical instrument industries, reported its audited financial results for the year ended March 31, 2020.
 
Consolidated Revenue for the year 2019-20 stood at Rs. 276.13 crores, as against Rs. 299.41 crores for the previous year ended March 31, 2019. The company reported a Consolidated Net Loss for the year 2019-20 of Rs. 64.80 crores which included an exceptional non-cash item amounting to Rs. 59.42 crores relating to impairment of goodwill of the US and Singapore subsidiaries.
 
The Company’s Standalone Revenue for the year 2019-20 was Rs. 92.31 crores, as against Rs. 107.63 crores for the year 2018-19. Standalone Net Loss for the year 2019-20 stood at Rs. 59.24 crores which included exceptional non-cash items of Rs. 58.81 crores primarily attributable to impairment of goodwill of the US and Singapore subsidiaries. Standalone Profits Before Taxes and Exceptional Items stood at Rs. 1.12 crores for the year 2019-20.
 
Commenting on the results, Mr. Yusuf Lanewala, Non-Executive Chairman, said, “Despite a year fraught with stiff competition, increased margin compression, and the impact of an unexpected pandemic during the last quarter of the year, the company is adequately capitalised with a robust zero-debt balance sheet, supported by a healthy liquidity position.” He further added, “Our financial strength and enviable client base, together with changes made in the leadership team, puts us on the right footing to meet the challenges of the post-pandemic era.”
 
Mr. Anand Balakrishnan, who took over the helm of affairs as CEO and Managing Director on March 1, 2020, reported that the company withstood the initial shock of the COVID-19 spread as it unfolded across the globe. He commented, “Like all other companies, we had to quickly grapple with the impact. Fortunately, we had risk measures already in place to safeguard our systems, minimize operational disruption, and continue delivering upon our clients’ requirements in the manner which they have come to expect. Though unprepared for the unusual lockdown situation, we also took the requisite steps to build a sustainable remote work infrastructure to ensure employee safety and productivity during the lockdown and thereafter if warranted.” 
 
On discussing the pandemic and the challenges ahead for all businesses and leaders, Mr. Balakrishnan remarked, “We will continue to be pro-active in assessing and acting upon the changing dynamics in the months to come. No doubt, there will be tough times ahead. Fortunately, we have disciplined teams focused on industries and services where we excel, a very healthy pipeline of new business in the US and Singapore, and clients who continue to value our work.” He further added, “We are very thankful to all of our employees for the ways in which they are exhibiting extraordinary commitment, patience and goodwill throughout this unprecedented time.”