Info-tech

Digital tech company TO THE NEW eyes 50% growth in turnover

Abhishek Law Kolkata | Updated on September 26, 2020 Published on September 26, 2020

Deepak Mittal, Co-Founder and CEO, TO THE NEW Pvt Ltd

Product engineering and digital transformation company TO THE NEW, is eyeing 40-50 per cent growth in turnover, to approximately ₹400 crore for FY21.

The increased earning expectations come on the back of rising digitisation initiatives being taken up by large corporates, especially in sectors like insurance or adoption of cloud services in the entertainment industry.

According to Deepak Mittal, CoFounder and CEO, a post pandemic scenario has seen many companies opt for increased digitisation. For instance, insurance companies are digitising some of their previous “physical verification” processes; while in the entertainment industry, DTH players are taking up digital initiatives as a part of customer acquisition and retention initiatives.

Data management and AI are growing services, with consumer-facing companies trying to determine and influence users’ buying patterns.

“We had targeted a turnover of ₹350 crore initially for FY21. The year seemed to be a slower one in terms of IT spends. However, post the pandemic new opportunities have come up and our services are generating queries in India across sectors like e-com, insurance and entertainment industries. So we have revised targets upwards to ₹375-400 crore,” he told BusinessLine.

Some of its clients include HDFC Mutual Funds, Max Life Insurance, Tata Sky, among others.

This Noida-based company has been witnessing a CAGR of 50 per cent and reported revenues of ₹260 crore on FY20. It has over 1,400 employees and apart from India has operations in the USA, Middle East, Europe, Australia and New Zealand.

Major verticals include setting up and management of digital transformation initiatives by companies and adoption and management of cloud and data.

According to Mittal, the company will look at long term contracts and from large corporates mostly. “For at least two years, we will target corporates. May be once the SMB (small and medium business) segment matures, we can have a look at that,” he said.

Hiring plans too will continue as usual; while it eyes acquisition in overseas markets like the USA. Discussions have begun with a “target company”, Mittal said adding that “fund raising could happen in such a case”.

“Acquisition will primarily be for getting customers and not to bring in new technologies,” he pointed out.

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Published on September 26, 2020
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