Mphasis posted a net profit of Rs 396 crore in the first quarter of FY24, down 1.7% sequentially, from Rs 403 crore in the March quarter of FY23.
Joining ranks with bigger rivals, the IT firm, too, posted a decline in its Q1 revenue to Rs 3,252 crore, down 3.2% quarter-on-quarter (q-o-q). The IT firm had reported a revenue of Rs 3,361 crore in the March quarter of FY23.
Even on a year-on-year basis, the IT firm reported a decline of 1.2% in its net profit. Its net profit for Q1FY23 was Rs 401 crore and revenue delined by 4.6% y-o-y, from Rs 3,411 crore.
Nitin Rakesh, CEO and MD, Mphasis, said, “While the macro-economic environment is still uncertain, we continue to broad base our growth across client segments, verticals and geographies, with a strong pipeline growth.”
The company reported its total contract value wins of $707 million in the June quarter. The company said that this is twice the size of the average wins in past four quarters. It won a total of seven large deals, of which four are more than $100 million each. The company saw its top 5 accounts decline 2% year-on-year, mainly affected by the mortgage softness.
Rakesh added, “We also believe that based on improved visibility driven by deal wins, bottoming of the mortgage cycle and early signs of increased activity, we should see revenue growth pick-up progressively through the remainder of FY24.”