Mphasis Q1 profit rises 11%; FY27 guidance unchanged
Mphasis reported its Q1FY27 net profit at Rs 489.51 crore, up 10.82% year-on-year (YoY) from Rs 441.71 crore reported in Q1FY26.
Revenue from operations stood at Rs 4,384.05 crore in Q1FY27, up 17.46% YoY from Rs 3,732.49 crore reported in Q1FY26.
On a sequential basis, Mphasis’ net profit declined 3.95%, while revenue increased 3.33%.
Mphasis maintains FY27 growth guidance
The IT services company has maintained its FY27 guidance, expecting high single-digit to low double-digit revenue growth despite an uncertain macroeconomic environment. It also retained its operating margin guidance of 14.75%-15.75% and expects to convert nearly 80% of its net income into operating cash flow.
Mphasis “expect Q2 to have accelerated momentum, with the best sequential growth in cc terms in the last 3 years. Growth to be broad based”
Mphasis TCV crosses $1.8 billion on AI-led wins
The company won three large deals during the quarter, including one contract worth more than $100 million.
Its trailing 12-month TCV crossed $1.8 billion, while 63% of the new deal wins were AI-led, highlighting the growing contribution of artificial intelligence to its business.
The company’s pipeline also reached a record level, growing 8% sequentially and 28% year-on-year, supported by broad-based demand across industries and service lines.
Mphasis reported an operating margin of 14.8% in the June quarter, remaining within its guided range despite acquisition-related costs.
MPhasis reported strong performance across major verticals
Among industry verticals, the Technology, Media and Telecom (TMT) business delivered the strongest performance, growing 16.4% sequentially and 13.6% year-on-year.
The Banking and Financial Services (BFS) segment grew 0.8% sequentially and 9.4% annually, while the insurance business rose 17.8% year-on-year. The “Others” category, which includes retail, increased 5.2% sequentially, supported by new deal wins.
