Mphasis revenue rises 17.4% as September EPS grows 19.2%

Mphasis Limited reported consolidated revenue from operations of Rs 4,580.93 crore for the quarter ended 30 September 2026, a 17.4% year-on-year increase, while basic earnings per share rose 19.2% to Rs 29.39. Profit for the period was Rs 561.126 crore, compared with Rs 469.074 crore a year earlier.

How did Mphasis perform in the September 2026 quarter?

Mphasis increased both revenue and profit in the September 2026 quarter. Revenue from operations reached Rs 4,580.93 crore, compared with Rs 4,384.054 crore in the quarter ended 30 June 2026 and Rs 3,901.911 crore in the quarter ended 30 September 2025. This equates to sequential growth of 4.5% and year-on-year growth of 17.4%, calculated from reported figures.

Profit for the period was Rs 561.126 crore, up 14.6% from Rs 489.506 crore in the June 2026 quarter and 19.6% from Rs 469.074 crore a year earlier. Total income, including other income, was Rs 4,728.098 crore, versus Rs 4,466.911 crore in June and Rs 3,976.554 crore in the prior-year quarter.

Total comprehensive income was Rs 628.437 crore in the September quarter, compared with Rs 587.420 crore in June and Rs 499.663 crore a year earlier. Other comprehensive income was Rs 67.311 crore, lower than Rs 97.914 crore in June but above Rs 30.589 crore in the September 2025 quarter.

What changed in Mphasis expenses and profit margin?

Mphasis’ calculated net margin, measured as profit for the period divided by revenue from operations, rose to 12.2% in the September quarter from 11.2% in the preceding quarter. The corresponding calculation was 12.0% in the September 2025 quarter, as profit grew faster than revenue in both the sequential comparison and the year-on-year comparison.

Total expenses were Rs 3,958.747 crore, compared with Rs 3,784.457 crore in June and Rs 3,349.806 crore a year earlier. Employee benefits expense increased to Rs 2,474.500 crore from Rs 2,408.740 crore sequentially, while other expenses rose to Rs 1,275.432 crore from Rs 1,180.145 crore.

Finance costs were Rs 55.213 crore in the September quarter, up from Rs 48.517 crore in June, and depreciation and amortisation expense was Rs 153.602 crore, compared with Rs 147.055 crore. Total tax expense increased to Rs 206.445 crore from Rs 193.279 crore, while other income rose to Rs 147.168 crore from Rs 82.857 crore.

Which Mphasis segments drove September-quarter revenue?

Banking and Financial Services remained Mphasis’ largest reported segment, with revenue of Rs 2,474.042 crore in the September quarter. That was higher than Rs 2,354.799 crore in June and Rs 2,016.142 crore a year earlier, while its segment result rose to Rs 795.747 crore from Rs 760.147 crore in June.

Technology, Media and Telecom generated Rs 899.957 crore of revenue, compared with Rs 812.397 crore in June, and its segment result increased to Rs 254.066 crore from Rs 211.163 crore. Insurance revenue rose sequentially to Rs 682.463 crore from Rs 665.929 crore, although its segment result of Rs 88.551 crore was below Rs 178.703 crore in the September 2025 quarter.

Logistics and Transportation was the only named business segment to report a sequential revenue decline, falling to Rs 166.695 crore from Rs 187.911 crore. Its segment result nevertheless rose to Rs 37.708 crore from Rs 25.327 crore, while the Others segment’s revenue declined to Rs 420.739 crore from Rs 446.313 crore.

What do Mphasis’ half-year earnings and cash flows show?

Mphasis reported six-month revenue from operations of Rs 8,964.984 crore for the period ended 30 September 2026, compared with Rs 7,634.400 crore in the corresponding prior-year period. Profit for the period increased to Rs 1,050.632 crore from Rs 910.777 crore, and basic earnings per share rose to Rs 55.04 from Rs 47.87.

Net cash generated from operating activities declined to Rs 311.507 crore from Rs 669.738 crore a year earlier. Trade receivables used Rs 780.916 crore of cash during the six months, compared with Rs 245.633 crore in the previous year, while total working-capital changes were an outflow of Rs 1,131.893 crore.

Cash and cash equivalents stood at Rs 680.565 crore on 30 September 2026, down from Rs 1,122.922 crore at 31 March 2026. Current borrowings rose to Rs 2,137.801 crore from Rs 1,792.885 crore, and the cash-flow statement recorded dividend payments of Rs 1,182.754 crore during the six months.

What acquisitions and unresolved matters did Mphasis disclose?

Mphasis said the OKIN Process business, acquired on 1 April 2026, contributed Rs 79.991 crore to group revenue in the six months ended 30 September 2026. The company described OKIN’s impact on consolidated profit as not material, while the Technology, Media and Telecom segment received the goodwill allocation from the transaction.

TAP, acquired on 21 April 2026, contributed Rs 3.626 crore of revenue and a loss of Rs 34.184 crore in the six-month period. Mphasis said TAP has developed the Continuum AI decision-intelligence platform, and allocated its Rs 25.611 crore goodwill across its business cash-generating units based on management’s assessment of expected economic benefits.

Mphasis Corporation’s proposed acquisition of a Red Oak Tech customer contract had not closed when the board approved the results on 5 November 2026. The agreement signed on 1 July 2026 provides for consideration of up to Rs 265.055 crore, including contingent consideration of up to Rs 141.994 crore over 24 months subject to defined milestones, but disclosed closing conditions had not been met.

Conclusion

Mphasis reported higher September-quarter revenue, profit and earnings per share, with Banking and Financial Services remaining its largest segment and Technology, Media and Telecom increasing both revenue and segment result sequentially. At the same time, six-month operating cash flow fell to Rs 311.507 crore as trade receivables and other operating asset movements absorbed cash.

The next disclosed matters to watch are completion of the Red Oak contract transaction and Mphasis’ assessment of a Canada Revenue Agency demand received after the balance-sheet date. The demand totals Rs 44.591 crore for goods and services tax and harmonized sales tax, and Mphasis said it was seeking information and clarification before assessing the financial-statement impact.