Happiest Minds Technologies is facing challenges in meeting its growth ambitions for the current financial year as delays in deal closures, weakness in the EdTech segment and slower-than-expected revenue from its banking platform weigh on the company's performance, senior management told Moneycontrol.
Despite reporting an improvement in operating margins and steady growth in its generative artificial intelligence (AI) business, the Bengaluru-based IT services company acknowledged that it was lagging behind its earlier growth expectations.
"To be honest, we are lagging behind," Happiest Minds Co-Chairman and CEO Joseph Anantharaju said in an interaction with Moneycontrol, when asked about progress towards the company's 12.5 percent growth ambition.
He attributed the slower momentum to several factors, including deals being pushed to subsequent quarters, headwinds in sectors such as EdTech, and delays in anticipated revenue from Arttha, the company's digital banking platform.
"We've not done anything close to what we've done in the past and what we thought we'd do," Anantharaju said, referring to the platform's performance.