Mastek Limited (NSE: MASTEK, BSE: 523704) shares ended the trading session lower on Wednesday following the release of its financial results. On the National Stock Exchange, the company’s shares closed down 2.18%, while on the BSE, the stock declined 1.13%.
Market Capitalization
The company’s market capitalization is approximately ₹67.4 billion.
Latest Quarterly Results
For the third quarter ended December 31, 2025, Mastek reported consolidated revenue from operations of ₹9,057 million. This represents an increase of 4.2% compared to the same period in the previous year but a sequential decline of 3.7% from the preceding quarter. Consolidated net profit for the quarter was ₹1,084 million, an increase of 14.4% year-over-year and 11.2% quarter-over-quarter.
Revenue performance by geographical segment for the quarter was as follows:
- UK & Europe Operations: ₹5,989 million, reflecting year-over-year growth of 21.36%.
- North America Operations: ₹2,033 million, reflecting a year-over-year decline of 17.51%.
- AMEA (Asia-Pacific, Middle East, and Africa): ₹1,035 million, reflecting a year-over-year decline of 20.16%.
Full-Year Results Context
For the nine months ended December 31, 2025, consolidated revenue from operations reached ₹27,608 million, compared to ₹25,498 million in the corresponding period of the previous fiscal year. This 8.3% increase in nine-month revenue indicates a growth trend for the fiscal year to date.
CHART — FINANCIAL TRENDS
Business & Operations Update
The company added 17 new clients during the third quarter, bringing its total active client base to 333. The 12-month order backlog as of December 31, 2025, stood at ₹26,585 million, an increase of 24.3% in rupee terms compared to the previous year. The total order backlog grew by 36.6% year-over-year. Mastek’s board declared an interim dividend of ₹8 per equity share for the financial year 2025-26.
M&A or Strategic Moves
During the period, the company secured a strategic consulting engagement with a US-based global asset manager for enterprise data platform modernization. It also established a partnership with an Australian local government for city operations modernization. In the UK, Mastek was engaged to support the Digital Prevention Portfolio for the national healthcare system and secured a three-year contract for a national biometrics platform.
Equity Analyst Commentary
Institutional research reports attributed the sequential revenue decline to seasonal factors, including higher employee furloughs and the right-shifting of specific client engagements. Analysts noted that margin expansion and the growth in the 12-month order backlog served as indicators of operational discipline despite the quarterly revenue contraction.
Guidance & Outlook
Management indicated that while the third quarter faced execution-related headwinds and seasonal softness, the pipeline remains active across the UK, US, and AMEA regions. Areas of focus for the coming periods include demand for AI-led solutions and digital engineering services in the healthcare and government sectors.
Performance Summary
Mastek shares declined during today’s session as the market reacted to a 3.7% sequential drop in revenue. However, the company reported a 14.4% year-over-year increase in net profit and 24.3% growth in its 12-month order backlog. Revenue growth in the UK & Europe segment was offset by declines in North America and AMEA operations.