Key Financial Figures

Quarterly Performance (Q2 FY27)

  • Revenue from operations: ₹64,543 lakhs (12.5% YoY growth, 2.7% QoQ growth)
  • Total Income: ₹66,599 lakhs (11.9% YoY growth, 2.1% QoQ growth)
  • Operating Margin: ₹11,911 lakhs (22.4% YoY growth, 9.6% QoQ growth)
  • Operating Margin Percentage: 18.5% (improved from 17.5% in Q1 FY27 and 17.0% in Q2 FY26)
  • Adjusted PAT: ₹7,911 lakhs (20.7% YoY growth)
  • Adjusted EPS: ₹5.25
  • EBITDA: ₹14,204 lakhs (18.1% YoY growth)
  • EBITDA Percentage: 21.3%
  • Constant currency revenue growth: 6.8% YoY, 2.4% QoQ
  • US Dollar operating revenues: $67.4 million (3.6% YoY growth, 1.8% QoQ growth)

Half-Year Performance (H1 FY27)

  • Revenue from operations: ₹1,27,394 lakhs (13.4% YoY growth)
  • Total Income: ₹1,31,819 lakhs (12.2% YoY growth)
  • Operating Margin: ₹22,778 lakhs (17.1% YoY growth)
  • Operating Margin Percentage: 18.1%
  • Adjusted PAT: ₹15,963 lakhs (19.0% YoY growth)
  • Adjusted EPS: ₹10.59
  • EBITDA: ₹28,333 lakhs (16.0% YoY growth)
  • EBITDA Percentage: 21.5%
  • Constant currency revenue growth: 6.7% YoY
  • US Dollar operating revenues: $133.7 million (3.3% YoY growth)

Balance Sheet Highlights (as of September 30, 2026)

  • Total Assets: ₹3,85,205 lakhs
  • Total Equity: ₹1,78,912 lakhs
  • Cash and cash equivalents: ₹13,420 lakhs
  • Bank balances other than cash: ₹99,882 lakhs
  • Trade receivables: ₹42,333 lakhs
  • Annualized ROCE: 24.0%
  • Annualized ROE: 14.7%

Operational Metrics

  • Active customers: 311 (7 additions in the quarter)
  • Billion-dollar corporations: 95 (contributing approximately 60% of revenue)
  • Repeat business: 95.1%
  • IP-led revenue: 10.5%
  • Workforce strength: 6,466 Happiest Minds
  • Utilization rate: 81.8% (improved from 81% in previous quarter)
  • Trailing 12-month attrition: 14.3% (down from 15.4% in previous quarter)

Dividend Declaration

The Board declared an interim dividend of ₹3.05 per equity share of face value ₹2 for FY27. The record date for dividend payment is November 6, 2026.

Key Project Wins

Happiest Minds secured several significant contracts during the quarter:

1. For a Global AI-powered Digital Asset Management platform company: Selected as strategic AI-led technology partner to establish and scale its Bengaluru GCC

2. For a Global electronics distributor: Selected as cloud engineering partner for Azure administration, infrastructure automation, and observability

3. For a US healthcare TPA: Selected as Data & Analytics partner for data analysis, engineering and governance implementation

4. For a US skincare, beauty and personal care manufacturer: Selected as strategic Managed Services Partner for multi-year IT operations support

5. For India's leading manufacturer of commercial vehicles: Selected as strategic technology partner for next-generation connected vehicle platform

6. For an Indian specialty steel manufacturer: Selected as strategic transformation partner for SAP integrated production planning and AI-driven manufacturing capabilities

Analyst Recognition

Happiest Minds received several industry recognitions:

  • ISG Provider Lens® Agentic AI Services 2026 (Global): Contender in Agentic AI Development & Deployment Services Midsize
  • ISG Provider Lens® Generative AI Services 2026 (Global): Product Challenger in Strategy & Consulting Services Midsize and Development & Deployment Services Midsize
  • ISG Manufacturing Industry Services and Solutions 2026:
  • US Region: Contender in ER&D Services and Smart/Digital Factory Services; Product Challenger in Supply Chain and Technology Transformation Services
  • Europe: Product Challenger in Technology Transformation & Consulting Services; Contender in ER&D Services
  • Everest Group: Major Contenders in Insurance Claims Operations PEAK Matrix® Assessment 2026

Merger Update

The proposed combination with ITC Infotech India Limited is progressing within indicated timelines, subject to requisite approvals. The transaction involves ITC Infotech acquiring an aggregate minority stake in Happiest Minds. The combined entity is expected to have over 19,000 professionals with an aspiration to achieve US$1 billion in annual revenue by FY28. The company incurred expenses of ₹398 lakhs towards the merger during the quarter, treated as an exceptional item.

ITC Infotech reported strong Q2 FY27 performance with revenue growing 18.5% YoY and adjusted EBITDA margin of 18.4%.

Guidance

The company reiterated its FY27 constant currency revenue growth guidance of 12.5%.

Exceptional Items

The quarter included exceptional items of ₹398 lakhs related to merger expenses with ITC Infotech.

Segment Performance

Revenue by Segment (Q2 FY27)

  • IMSS: ₹11,548 lakhs
  • PDES: ₹49,486 lakhs
  • GBS: ₹3,509 lakhs

Segment Results (Q2 FY27)

  • IMSS: ₹3,659 lakhs
  • PDES: ₹14,974 lakhs
  • GBS: ₹1,189 lakhs

Corporate Actions

The company is in the process of shifting its Registered Office from Karnataka to West Bengal, approved by the Board on August 31, 2026.