Mphasis' profitability stumbles in Q4FY16
Mphasis has announced Q4FY16 results on Thursday. The company’s revenue has increased by 6.17 per cent to Rs 1517 crore in Q4FY16 as compared to previous fiscal year. Its EBITDA too has risen by 15.83 per cent to Rs 234 crore in Q4FY16 on a yearly basis. Mphasis’ EBITDA margin has expanded by 128 basis points to 15.39 per cent in Q4FY16 as compared to previous financial year. The company’s PAT has decreased by 12.91 per cent to Rs 155 crore in Q4FY16 on a yearly basis. Its PAT margin has contracted by 223 basis points to Rs 155 crore in Q4FY16 as compared to previous financial year.
Mphasis’ top line has increased by 5.06 per cent to Rs 6088 crore in FY16 as compared to previous fiscal year. The company’s EBITDA too has risen by 3.01 per cent to Rs 896 crore in FY16 on a yearly basis. However, its EBITDA margin has contracted by 29 basis points to 14.72 per cent in FY16 as compared to previous financial year. Mphasis' bottom line has declined by 0.78 per cent to Rs 669 crore in FY16 on a yearly basis. The company’s PAT margin has contracted by 64 basis points to 11 per cent in FY16 as compared to previous financial year.
On segmental revenue basis, Mphasis has earned 30.04 from banking and capital market; 23.99 per cent from Insurance segment;16.06 per cent from IT, Communication & entertainment segment ;29.39 per cent from Emerging industries segment; and remaining 0.47 per cent from others segment in FY16.
The share price of Mphasis has declined by 2.95 per cent on bourses after declaration of results and has closed at Rs 472.2 on an intraday basis.
Mphasis is an information technology solutions provider. The company offers applications, business process outsourcing (BPO) and infrastructure services. It operates through segments, including Banking and Capital Market, Insurance, Information Technology, Communication and Entertainment and Emerging Industries. Mphasis operates in the United States of America, India, Asia Pacific (APAC) and Europe, Middle East and Africa (EMEA).