Mphasis, the information technology services company, has reported a 14% increase in its net profit for the fourth quarter of the fiscal year, reaching Rs 509 crore. The company's strong operational performance and new client acquisitions contributed to the growth.
Financial Highlights
The Bengaluru-based firm posted a net profit of Rs 509 crore for the quarter ended March, compared to Rs 447 crore in the same period last year. Revenue for the quarter grew by 11% to Rs 3,042 crore from Rs 2,741 crore in the corresponding quarter of the previous fiscal.
Operational Performance
The company's earnings before interest and taxes (EBIT) rose by 12% to Rs 589 crore, with margins expanding to 19.4% from 19.1% in the year-ago quarter. The growth was driven by increased demand for digital transformation services and cost optimization initiatives.
Client Wins and Deal Pipeline
Mphasis secured new deals worth $450 million in total contract value during the quarter, reflecting robust demand across verticals. The company added 10 new clients in the quarter, including two large deals in the banking and financial services sector.
Management Commentary
Nitin Rakesh, CEO of Mphasis, said, "Our strong performance in Q4 reflects our focus on delivering value to clients through our next-generation solutions. We are seeing healthy demand across geographies, particularly in North America and Europe." He added that the company's pipeline remains strong, and they are confident of sustaining growth momentum.
Segment Performance
The company's banking and financial services segment grew by 12% year-on-year, while the insurance vertical saw a 15% increase. The technology and telecom segment posted 10% growth, driven by cloud and cybersecurity services.
Outlook
Mphasis expects to continue its growth trajectory in the coming quarters, driven by investments in digital technologies and expansion into new markets. The company plans to hire 5,000 freshers in the current fiscal year to support its growth plans.
