Mphasis records consistent and highest YoY growth of 40.7% in Direct business

Gross revenue grew 29.6% YoY in Q4 2022

Mumbai, 28 April 2022: Mphasis Limited (BSE – 526299; NSE – MPHASIS), an Information Technology (IT) solutions provider specializing in cloud and cognitive services, today announced its financial results for the quarter ended 31^st March 2022 and financial year 2021-22.  

Quarter ended 31^st March 2022 

• Gross Revenue grew 4.8% QoQ and 29.6% YoY on reported basis to INR 32.4 billion (USD 431 million) in Q4 FY22 and grew 4.3% QoQ and 26.8% YoY in Constant Currency.  
• Direct revenue grew 5.2% QoQ and 40.7% YoY on a reported basis to INR 30.2 billion (USD 401 million) in Q4 FY22 and grew 4.7% QoQ and 37.6% YoY in Constant Currency.  
• New TCV wins of USD 347 million in Q4 FY22 in Direct.  
• Net profit grew 9.6% QoQ and 23.7% YoY to INR 3,921 million in Q4 FY22. Adjusted for the M&A charges Net profit grew 9.1% QoQ and 30.9% YoY to INR 4,147 million. 
• EPS grew 9.4% QoQ and 23.2% YoY to INR 20.9 in Q4 FY22. Adjusted for the M&A charges EPS grew 8.9% QoQ and 30.3% YoY to INR 22.1. 

Year ended 31^st March 2022

• FY22 revenue grew 22.4% YoY on reported basis and 21.2% in Constant Currency to INR 118.6 billion (USD 1.59 billion).  
• Direct revenue grew 35.7% YoY on reported basis and 34.4% in Constant Currency to INR 108.9 billion (USD 1.46 billion).  
• New TCV wins of USD 1.43 billion in FY22 in Direct; Growth of 28.5%.  
• Net profit grew 17.6% to INR 14,309 million in FY22. Adjusted for the M&A charges, Net profit grew 22.6% to INR 14,920 million. 
• EPS grew 17.2% to INR 76.4 in FY22. Adjusted for the M&A charges, EPS grew 22.2% to INR 79.6. 
• Mphasis Board of Directors recommended a dividend of INR 46 per share for FY22, subject to shareholder approval. 

“We have had a fourth straight strong quarter of 30%+ Direct growth in FY22.  We continue to stay optimistic on the current demand environment, while we are keeping an eye on macro and geopolitical headwinds. Consistent and broad-based growth continue to be our mantra, as we prioritize growth and stability.” said Nitin Rakesh, Chief Executive Officer, and Managing Director, Mphasis 

Deal wins: 

• Mphasis won a deal from one of the leading insurance brokers in the UK, to accelerate cloud adoption for their IT operations and migrate current entities to cloud environment 
• One of the leading providers of benefits administration and cloud-based HR and finance solutions partnered with Mphasis to extend infrastructure support, service desk support and desk side support services for one of its recent acquisitions.  
• NewCo in asset management business chose Mphasis as a strategic partner for a three-year managed services engagement. This comes after a prior engagement to design and deploy end-to-end digital workplace solution comprising of end user computing, network, and security for global users.  

Recognitions and Analyst Positioning:  

• Mphasis ranked 2nd in HFS Market Analysis: Application Modernization Services Formidable Challengers 
• Mphasis positioned as a Leader in ISG’s Mainframe Modernization Solutions and Services 2022 Provider Lens™ Report 
• Recognized as Top Leader & Star Performer and Ranked 14 in the ITS Top 20 list,  in Everest Peak Matrix® IT Service Provider of the Year™ 2022 
• Recognized as Star Performer & Major Contender in Everest Group’s: 

• Digital Interactive Experience (IX) Services PEAK Matrix® Assessment 2022 
• Artificial Intelligence (AI) Services PEAK Matrix® Assessment 2022 
• Recognized as Major Contender in Everest Group’s: 
  • Digital Experience Platforms (DXP) in Insurance Industry Products PEAK Matrix® Assessment 2022 
  • Healthcare Payer Operations PEAK Matrix® Assessment 2022 
  • Mortgage Operations PEAK Matrix® Assessment 2022 
  • Digital Product Engineering Services PEAK Matrix® Assessment 2022 
  • Intelligent Process Automation (IPA) Solutions PEAK Matrix® Assessment 2022