Financial Performance Highlights

Q1 FY27 TCV Wins: $461 million net new Total Contract Value

TTM TCV: $1.8 billion+ (trailing twelve months)

Large Deals: Three large deals in Q1 FY27, including one $100 million+ deal

Revenue Performance:

  • Direct business QoQ growth: 2.2%
  • Direct business YoY growth: 9.9%
  • Direct ROW (Rest of World) growth: 6.1% QoQ (led by GCCs)

Segment Performance:

  • APPS: YoY growth driven by AI-led modernization deals
  • BPO: QoQ growth driven by strong pipeline and new deal wins

Vertical Performance (Direct Business):

  • BFS: 0.8% QoQ growth, 9.4% YoY growth, 3.5%+ CQGR past 8 quarters
  • Insurance: 17.8% YoY growth
  • TMT: 16.4% QoQ growth, 13.6% YoY growth
  • Others: 5.2% sequential growth driven by retail segment

Client Metrics (TTM):

  • Top 1-10 clients: 11.1% YoY growth, 1.6% QoQ growth
  • Top 11-30 clients: 21.0% YoY growth, 6.2% QoQ growth

Profitability Metrics:

  • Margins maintained within target band of 14.75%-15.75% despite acquisition cost absorption
  • EPS: Q1FY27 - ₹25.6, showing -4.0% change from Q4FY26 (₹26.7)
  • Cash conversion target: 80% of Net income to Operating cash flow

Strategic Business Updates

Mphasis TRIA AI Platform:

  • 63% of TCV wins were AI-led
  • Platform launched seven weeks prior, showing multiple deals in closure and moving to execution
  • Driving ARR and Managed Services opportunities bundled together
  • Influencing significant large deal activity and new addressable penetration at existing clients

Pipeline Development:

  • Pipeline at record levels with 8% QoQ growth and 28% YoY growth
  • Broad-based pipeline across verticals, deal sizes, and archetypes

Guidance and Outlook

Q2 FY27 Expectations:

  • Expect best sequential growth in constant currency terms in the last 3 years
  • Growth expected to be broad-based

FY27 Full Year Guidance Maintained:

  • Revenue: High single digit to low double-digit growth
  • Margins: 14.75%-15.75% target band
  • Cash conversion: 80% of Net income to Operating cash flow

Additional Information

Investor Presentation: Available on company website at www.mphasis.com

Historical Financial Data: Link provided to three-year financial data at https://www.mphasis.com/home/corporate/investors.html

Forward-looking Statements Disclaimer: Contains standard risk factors including earnings fluctuations, forex rates, competition, wage increases, talent retention, contract overruns, immigration restrictions, client concentration, operational risks, technology demand disruptions, acquisition integration, contractual liabilities, fiscal incentives, political instability, pandemics, war, capital restrictions, intellectual property risks, and general economic conditions.