Happiest Minds Technologies has reported a solid start to FY26 with a 11.9 per cent jump in its consolidated net profit for the June quarter. The company posted a profit of Rs 57.13 crore in Q1 FY26, compared to Rs 34 crore in the previous quarter and Rs 51.03 crore in Q1 last year.
The Bengaluru-headquartered IT services firm saw revenue from operations rise to Rs 549.9 crore, up 1 per cent sequentially and 18.6 per cent on a year-on-year basis. Total income, including other income, stood at Rs 57,993 lakh.
Key highlights from the Q1FY26
1. CEO credits strategic changes for business momentum
CEO Joseph Anantharaju attributed the momentum to the 10 strategic changes and initiatives the company outlined before the start of the fiscal year. The 10 major changes implemented includes, leadership restructuring, acquisitions, expansion into new geographies, and the launch of new business units and AI services.
“Our differentiated capabilities in Generative AI, Data, and Cybersecurity—combined with our verticalized structure—position us as the partner of choice. We remain confident in our ability to scale impact and drive sustainable growth for our clients and stakeholders,” Anantharaju, who assumed the position of company Co-Chairman and CEO in March this year, said.
The company’s 94 per cent revenues now come from digital services.
2. Happiest mind wins key deals
Happiest Minds attributed the strong performance to robust demand in digital transformation and AI-led services. The company informed that it has been selected as an implementation partner for a US-based insurance and financial solutions company for their GenAI workflow automation.
It also won deals from a global home improvement retailer, a US airport, an Australian mining services firm and a US education training provider. These engagements span across cloud migration, GenAI enablement, and IT infrastructure.
3. Workforce dips by 109
The company added 17 new clients during the first quarter of the fiscal year, bringing its tally to 285 as of June 30. The employee count at the end of Q1 FY26 stood at 6,523, a decline of 109 from the previous quarter.
4. Board approves merger of Happiest Minds with its subsidiary Aureus Tech
The company’s board approved the amalgamation of Happiest Minds Technologies with its wholly-owned subsidiary, Aureus Tech Systems Private. Through this merger, the companies expect to pool resources, achieve operational synergies and cost savings, optimise logistics, and simplify the group structure by reducing statutory compliances.
Happiest Minds had acquired Aureus Tech Systems — a US-based digital product engineering company — in 2024 for $8.5 million (around Rs 71 crore).
5. Board reappoints Joseph Anantharaju as Co-Chairman and CEO
The board reappointed Mr Joseph Anantharaju as Co-Chairman and CEO and Mr Venkatraman Narayanan as Managing Director for another five-year term starting November 4, 2025.