BENGALURU: Mid-sized IT firm Mindtree expects to top $1 billion in deals in the current fiscal, helped by improving sentiment in the West where clients are showing a preference for smaller deals, according to chief executive Rostow Ravanan.“Deals that were not available to us, or the ones that our customers thought were too risky to trust us with, are now available to us,” Ravanan told ET. “Customers are no longer looking at large $500 million deals. Deals are being broken up, and even say $100-200 million deals, there is lot of confidence (with customers) to deal with specialised players like us.”This trend is helping Mindtree take on larger players in the areas of cloud, digital and analytics, he said. For 2017-18, Mindtree Ltd reported a profit growth of 36.2% to Rs 570 crore on revenue of Rs 5,462 crore, which grew 3% over the previous year. The company had signed up about $1billion worth of contracts, including renewals.The chief of the Bengaluru headquartered firm said there is a turnaround in customer sentiment in both Europe and the US. “Our win ratios are going up. Sentiment has become more positive and customers are closing deals,” Ravanan said. “Our large deals are around the $100-plus million. Depends upon the duration, at least like a $25 million per annum is in our sweet spot.”Indian IT services firms are seeing clients, who were experimenting on digital projects till last year, increase their digital spend as they see it being implemented at scale in their organisations.“We are on a good growth momentum, and if we continue the same way, we will begin to see margins coming back to our same historic levels. Both growth and margins are the priority for the next 3-4 years,” he said.Ravanan said customers are breaking up large deals, which is helping smaller players like Mindtree.For the quarter ended March, revenue from banking financial services and insurance (BFSI) declined 4% sequentially for Mindtree, but the firm is positive about prospects of business in this segment.“The only other trend that we are seeing is that other industry groups like retail, travel, etc., are making a much stronger push for digital, and BFSI is becoming a late adopter,” he said.