Established in 1982, Mastek is a provider of vertically-focused enterprise technology solutions. Having its presence in IT industry for almost 4 decades, Mastek Ltd has evolved from an IT solutions provider to Digital transformation partner. Presenting below are its Q1 FY26 earnings.
Q1 FY26 Earnings Summary
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Consolidated Revenue: ₹914.7 crore, up 12.5% year-over-year (YoY) from ₹812.9 crore in Q1 FY25.
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Total Income: Approx. ₹915 crore, up 13.2% YoY.
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Operating EBITDA: ₹137.3 crore, up 10.8% YoY (Q1 FY25: ₹123.8 crore).
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Operating EBITDA Margin: 15.0%, down slightly by 31 basis points YoY due to investments in talent and capabilities.
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Net Profit (PAT): ₹92.1 crore, up 27.7% YoY from ₹71.5 crore and up 13.5% sequentially.
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EPS: ₹29.75, up 28% on the YoY basis.
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12-Month Order Backlog: ₹2,348 crore, up 8.3% YoY and 2.5% QoQ.
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New Clients Added: 12 in Q1 FY26; total active clients at 323 (down from 348 Q4 FY25) as the company sharpened its client engagement focus.
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Geography: UK & Europe business led growth (+27% YoY), bolstered by robust performance in healthcare and government sectors. The US business faced headwinds and remained flat YoY; AMEA declined due to project closures.
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Cash & Liquidity: Cash, equivalents, and mutual funds at ₹549 crore (down from ₹622 crore QoQ); attrition stable at 19.5%.
Key Management Commentary & Strategic Highlights
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CEO Umang Nahata: “We are pleased to report another steady quarter with 12.5% revenue growth YoY, led by strong momentum in healthcare and government services in UK & Europe. The US faced headwinds, but our pipeline and order backlog remain strong. Margins are stable despite continued investments in AI and talent.”
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Digital Engineering, Data, Automation, and AI were primary growth drivers, especially Oracle-led engagements in healthcare and commercial sectors.
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Mastek finalized over 10 deals around generative and agentic AI solutions, enhancing its value proposition; the quarter also saw a strategic partnership with Open Ana to advance AI capabilities.
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Launched ADOPT.AI suite (80+ AI agent assets, 100+ use cases); AI Academy has trained 3,600+ professionals and 6,500 certifications were awarded.
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Strategic focus is on sustainable, profitable growth via operational execution, deep client relationships, and differentiated AI-led offerings.
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12-month order backlog at record ₹2,348 crore, supporting growth visibility across verticals and geographies.
Q4 FY25 Earnings Summary
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Revenue: ₹905.4 crore, up 16.1% YoY.
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Operating EBITDA: ₹138.8 crore.
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Net Profit (PAT): ₹81 crore, down 14% on the YoY basis.
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EBITDA Margin: Approximately 15.4%.
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Business Dynamics: Growth was supported by digital engineering demand, particularly in the UK, and robust enterprise and healthcare wins. Some softness was noted in the US and emerging markets due to project timing and select closures.
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Client Base: 348 active clients at quarter end; strong demand for core digital and Oracle solutions.
To view the company’s previous earnings, click here