Happiest Minds Technologies Limited announced its financial results for the quarter ended September 30, 2025 (Q2 FY26), posting a steady year-on-year (YoY) increase in both revenue and profitability.
Financial highlights
The company reported a net profit of Rs 54.02 crore in Q2 FY26, up 9.1% YoY from Rs 49.52 crore recorded in the corresponding period last year. On a quarter-on-quarter (QoQ) basis, profit declined slightly by 5.4% from Rs 57.13 crore in Q1 FY26.
Revenue from operations rose 9.9% YoY to Rs 573.57 crore, compared to Rs 521.64 crore in Q2 FY25. Total income stood at Rs 595.18 crore, up from Rs 548.67 crore a year ago.
Expenses and margins
Total expenses for the quarter increased to Rs 522.52 crore, against Rs 480.95 crore in the same period last year, mainly due to higher employee benefit expenses, which rose to Rs 389.01 crore from Rs 350.55 crore.
Profit before tax (PBT) for Q2 FY26 came in at Rs 72.66 crore, compared to Rs 67.72 crore in Q2 FY25, reflecting operational efficiency despite cost pressures.
Tax expense stood at Rs 18.64 crore, leaving a net profit margin of 9.1%, in line with the company’s guided range.
Half-year performance
For the first half of FY26 (H1 FY26), Happiest Minds reported:
- Total revenue: Rs 1,175.11 crore (up 13.4% YoY)
- Net profit: Rs 111.15 crore (up 10.7% YoY)
Outlook
The company continues to maintain healthy growth in its digital transformation and product engineering segments, driven by demand from BFSI, EdTech, and healthcare clients.
Chairman and MD Ashok Soota noted that the company remains committed to achieving its “Rule of 40” objective — a metric combining revenue growth rate and profit margin — through consistent execution and customer diversification.
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