Bengaluru-based IT firm Mindtree is expecting an improvement in growth and margins in FY19 compared to FY18, said Rostow Ravanan, MD and CEO of the company.

For full year FY19, the company is on a trajectory to improve margins at an operational level compared to FY18, said Ravanan.

“We are confident of growth because the deal wins have been strong but there could still be quarterly volatility,” he said, adding that they have also seen an increase in size and complexity of digital deals.

On the tailwind the rupee depreciation provides to the IT sector, Ravana said one percent rupee change impacts margins by 35-40 basis points and being an exporter, depreciating rupee benefits margins and vice versa.

“Every year over the last 3-4 years, we have seen a similar phenomenon where the rupee hits a new spike. So individual spikes during the quarter mean little less than the average run rate for the quarter and the quarter ending rate, “he said.