Bengaluru, 24 April 2025 – Mphasis Limited (BSE: 526299; NSE: MPHASIS), a global leader in cloud and cognitive IT services, announced robust financial results for Q4 FY2025 and the full fiscal year, driven by strategic acquisitions, strong deal wins, and operational efficiency.
FY2025 Financial Highlights
| Metric | FY2025 (₹ mn) | FY2024 (₹ mn) | YoY Growth |
|---|---|---|---|
| Revenue from Operations | 142,299.87 | 132,785.15 | +6.7% |
| Net Profit After Tax | 17,021.39 | 15,548.20 | +9.5% |
| Earnings Per Share (EPS) | ₹89.87 | ₹82.42 | +9.1% |
| Dividend Proposed | ₹57/share | ₹55/share | +3.6% |
| Total Assets | 149,066.29 | 141,302.38 | +5.5% |
Q4 FY2025 Snapshot
- Revenue: ₹37,100.41 million (+8.9% YoY)
- Net Profit: ₹4,464.92 million (+13.6% YoY)
- EPS: ₹23.51 (up 12.9% YoY)
- Direct Revenue Growth: 10.4% YoY to ₹35,950 million
- New Deals: $390 million Total Contract Value (TCV) in Q4, with 85% in next-gen services like AI and cloud.
Strategic Moves & Growth Drivers
- Acquisitions Strengthening AI & Cloud Capabilities:
- Acquired Kore.ai’s professional services (AI-powered platforms) and Sonnick Partners (Salesforce expertise).
- Expanded cybersecurity and software testing via EDZ Systems and tsQs Inc.
- These acquisitions add ₹15,000+ million in goodwill, reflecting long-term synergies.
- Key Deal Wins:
- Partnerships with North American banks for data modernization and wealth platform upgrades.
- Collaboration with healthcare and logistics giants to enhance data-driven operations.
- Recognition & Market Positioning:
- Named a Leader in Everest Group’s Data & AI Services 2025.
- Featured in Forrester Wave™ for Application Modernization and HFS Horizons for Salesforce Services.
Future Growth Outlook
Mphasis is poised for sustained growth through:
- AI & Digital Transformation: Investments in no-code platforms (Kore.ai) and AI-driven solutions.
- Cloud Modernization: Focus on shrinking legacy systems via its Front2Back™ approach.
- Global Expansion: Enhanced footprint in North America, Europe, and APAC through acquisitions.
- Margin Improvement: Operating margins at 15.3% in Q4, with cost optimization in talent and infrastructure.
Should Investors Buy, Hold, or Sell?
| Factor | Analysis |
|---|---|
| Financial Health | Strong revenue growth, rising EPS, and consistent dividends signal stability. |
| Valuation | Trading at P/E ~28x (industry avg. ~25x), slightly premium but justified by tech leadership. |
| Risks | Macroeconomic volatility, integration risks from acquisitions, currency fluctuations. |
Conclusion
Mphasis has delivered its strongest annual performance to date, backed by strategic acquisitions and a focus on high-margin digital services. With a clear roadmap for AI and cloud dominance, the company is well-positioned to capitalize on global IT spending trends. Investors with a 3–5-year horizon should consider accumulating shares while monitoring execution risks.
*For real-time updates, follow #MphasisResults2025 on social media or visit www.mphasis.com.*
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