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Mphasis (526299) investor relations material
Mphasis Q3 25/26 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 FY26 revenue grew 1.5% sequentially and 7.4% year-over-year in constant currency, with reported growth at 2.6% QoQ and 12.4% YoY; direct revenue up 1.9% QoQ and 9.6% YoY in constant currency.
Growth was led by BFSI and insurance, with BFSI up 3.7% sequentially and insurance up 8% sequentially; 69% of the deal pipeline is now AI-led.
Net new TCV wins totaled $428 million, including four large deals, two over $50 million; LTM TCV doubled to $2.1 billion.
Margins remained stable at 15.2%, with operating profit and EPS up 9% YoY before exceptional items.
The company accelerated AI adoption, launched the NeoIP platform, and completed several acquisitions.
Financial highlights
Q3 FY26 revenue was $451 million, up from $445 million in Q2 and $419 million in Q3 FY25; consolidated revenue was ₹40,025.79 million.
Operating margin held steady at 15.2%-15.3% over the last three quarters.
Net operating cash flow for Q3 FY26 was $43 million; DSO increased to 91 days due to milestone contract receivables.
EPS before exceptional items was ₹24.6, up 9% YoY; basic EPS for the quarter was ₹23.22.
Profit attributable to equity owners was ₹4,421.85 million, up from ₹4,278.07 million a year ago.
Outlook and guidance
Management expects to maintain EBIT margin within 14.75%-15.75% while investing for growth.
Q4 is anticipated to be the strongest sequential growth quarter for FY26, with continued ramp-up of large deals.
Projected to achieve greater than 2X industry growth, supported by strong TCV-to-revenue correlation (R² = 0.9289).
Focus on scaling AI-led propositions and deploying the NeoIP platform.
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