Mindteck revenue rises 4% as September-quarter profit slips 1%

Mindteck (India) Limited reported consolidated revenue from operations of Rs 105.50 crore for the quarter ended September 30, 2026, up 4% year on year, while profit for the period slipped 1% to Rs 7.48 crore as technical subcontractor costs rose to Rs 27.73 crore from Rs 22.90 crore.

How did Mindteck perform in the September 2026 quarter?

Mindteck reported Rs 105.50 crore in consolidated revenue from operations in the September 30, 2026 quarter, compared with Rs 101.63 crore a year earlier and Rs 104.08 crore in the preceding June 2026 quarter. The year-on-year increase was Rs 3.87 crore, while sequential revenue rose by Rs 1.42 crore.

Total income was Rs 108.49 crore, against Rs 103.74 crore in the September 2025 quarter, as other income increased to Rs 2.99 crore from Rs 2.11 crore. Profit before tax and exceptional items rose to Rs 9.41 crore from Rs 7.88 crore, although it was below Rs 9.62 crore in the June 2026 quarter.

Mindteck’s reported profit before tax was Rs 9.41 crore, down from Rs 9.79 crore in the prior-year quarter. That comparison includes a Rs 1.91 crore recovery linked to the restructuring of US sales operations recorded as an exceptional item in the September 2025 quarter, whereas neither comparable 2026 quarter contained an exceptional item.

Why did Mindteck’s profit fall despite higher revenue?

Mindteck’s profit for the period declined to Rs 7.48 crore from Rs 7.56 crore because total expenses increased by Rs 3.22 crore year on year to Rs 99.08 crore, compared with a Rs 3.87 crore rise in revenue. Technical subcontractor cost was the principal increase, rising by Rs 4.83 crore to Rs 27.73 crore.

Employee benefits expense increased marginally to Rs 62.66 crore from Rs 62.54 crore, while other expenses declined to Rs 7.33 crore from Rs 8.98 crore. Finance costs fell to Rs 0.21 crore from Rs 0.29 crore and depreciation and amortisation remained Rs 1.15 crore in both September quarters, partially offsetting the higher subcontracting outlay.

Tax expense decreased to Rs 1.93 crore from Rs 2.23 crore, but that reduction did not fully preserve earnings after the lower reported pre-tax profit. Basic earnings per share were Rs 2.34, compared with Rs 2.36 a year earlier and Rs 2.62 in the June 2026 quarter; interim earnings per share are not annualised in the filing.

Which customer geographies drove Mindteck’s revenue?

Mindteck’s Rest of the world geography generated the largest September-quarter revenue at Rs 47.87 crore, followed by the United States at Rs 41.36 crore and India at Rs 16.27 crore. Rest of the world grew by Rs 4.48 crore from Rs 43.39 crore a year earlier, while US revenue grew by Rs 3.56 crore from Rs 37.80 crore.

India was the only disclosed geography to decline year on year, falling by Rs 4.17 crore from Rs 20.44 crore in the September 2025 quarter. Sequentially, US revenue rose from Rs 40.20 crore and Rest of the world revenue increased from Rs 46.87 crore, while India declined from Rs 17.01 crore in the June 2026 quarter.

For the six months ended September 30, 2026, revenue from operations reached Rs 209.58 crore, compared with Rs 202.93 crore in the prior-year period. US revenue was Rs 81.56 crore, Rest of the world revenue was Rs 94.74 crore and India contributed Rs 33.28 crore, versus Rs 77.73 crore, Rs 85.29 crore and Rs 39.91 crore respectively a year earlier.

What do Mindteck’s half-year profits and cash flow show?

Mindteck recorded six-month profit for the period of Rs 15.84 crore, down from Rs 16.31 crore in the six months ended September 30, 2025, despite revenue increasing by Rs 6.65 crore to Rs 209.58 crore. Profit before tax and exceptional items increased to Rs 19.03 crore from Rs 18.64 crore, but reported prior-year profit before tax included the Rs 1.91 crore US sales restructuring recovery.

Net cash from operating activities was Rs 9.31 crore for the six-month period, compared with Rs 8.91 crore a year earlier. The cash-flow statement shows trade receivables increased by Rs 2.73 crore, while income taxes paid were Rs 2.19 crore, down from Rs 4.51 crore in the prior-year six months.

Cash and cash equivalents were Rs 69.01 crore at September 30, 2026, up from Rs 61.69 crore at March 31, 2026. The group invested Rs 27.36 crore in Treasury bills and received Rs 24 crore from Treasury-bill sales during the six months, resulting in net investing cash inflow of Rs 1.88 crore versus Rs 21.75 crore a year earlier.

What balance-sheet and corporate matters should readers note?

Mindteck had total assets of Rs 381.96 crore at September 30, 2026, up from Rs 369.85 crore at March 31, 2026, while total equity increased to Rs 320.54 crore from Rs 303.57 crore. Current investments rose to Rs 62.35 crore from Rs 56.25 crore, and trade receivables increased to Rs 118.87 crore from Rs 113.73 crore.

Total liabilities decreased to Rs 61.42 crore from Rs 66.28 crore over the same period. Current liabilities fell to Rs 52.96 crore from Rs 57.33 crore, including a reduction in dues to creditors other than micro and small enterprises to Rs 17.34 crore from Rs 20.04 crore.

The consolidated results include 10 direct and indirect subsidiaries and the Mindteck Employees Welfare Trust, including Mindteck Inc., Mindteck Singapore Pte. Ltd. and Mindteck (UK) Limited. The group describes its primary business as software services for external customers; IT-enabled services are rendered to subsidiaries and eliminated on consolidation, so it does not present a separate primary IT-enabled-services segment.

Conclusion

Mindteck delivered higher consolidated revenue in the September 2026 quarter, led by growth in Rest of the world and US customer locations, but the Rs 4.83 crore rise in technical subcontractor costs exceeded the Rs 3.87 crore revenue increase. Consequently, quarterly profit was Rs 7.48 crore, Rs 0.08 crore below the September 2025 result.

Readers should watch whether the higher subcontractor cost persists relative to revenue in subsequent quarters, as employee benefits were broadly flat at Rs 62.66 crore in the September quarter. The filing also says Mindteck continues to monitor the Labour Codes after recording a non-recurring Rs 5.30 crore employee-benefit impact in the year ended March 31, 2026, and will evaluate further effects on employee-benefit liabilities if applicable.