Mastek Q4 earnings: Net profit falls 2% QoQ to ₹106 crore, revenue up 4%; ₹16 per share dividend recommended

The company posted a 2% quarter-on-quarter (QoQ) decline in its consolidated net profit to ₹106.2 crore for Q4 FY26, compared to ₹108.4 crore in the previous quarter of the same fiscal year.

However, annually, its profit surged 30.9% year-on-year (YoY) from ₹81.1 crore in the March quarter of the 2024-25 fiscal year (Q4 FY25), according to its investor presentation.

Its revenue from operations advanced 3.6% QoQ to ₹938 crore during the quarter under review, as against ₹905.7 crore in the December quarter of FY26. On a YoY basis, its revenue grew by 3.6% from ₹905.4 crore.

The sequential revenue growth was supported by a 24.4% YoY increase in Matek’s 12-month order backlog. The company said that the continued strength in the UK and US order books improved its revenue visibility.

Its UK business continued to lead its growth with 21.9% in INR terms for FY26, driven by a strong focus on healthcare, which grew by 95% YoY, complemented by its new client wins in financial services, commented Umang Nahata, Chief Executive Officer, Mastek.

“In North America, leading indicators are turning positive, supported by an execution-focused leadership team. While this market is still evolving, the strengthening pipeline provides confidence in a gradual recovery,” Nahata added.

At an operational level, its EBITDA (earnings before interest, tax, depreciation and amortisation), also known as operating profit, stood at ₹150.7 crore for the March quarter of FY26. While it fell marginally QoQ from ₹152 crore in Q3 FY26, it grew 8.6% YoY from ₹138.8 crore in Q4 of FY25.

Its EBITDA margin contracted by 71 basis points (bps) QoQ to 16.1% from 16.8% in the quarter-ago period. Annually, however, it expanded by 75 bps from 15.3% in the same period last year.

“Our outcome-focused drive on AI has helped deliver a 12% improvement in revenue per employee and helped sustain EBITDA margins at 16.1%,” Nahata noted.

While the macroeconomic environment remains uncertain, Matek’s “deep client relationships, strong deal pipeline, and sustained operational rigor” position it well to navigate the near-term challenges and capitalise on emerging growth opportunities, said Deepak Kedia, Chief Financial Officer, Mastek.

Key highlights

• Its 12-month order backlog stood at ₹2,849.2 crore ($300.4 million) as on March 31, 2026, compared to ₹2,290.9 crore ($264.5 million) in Q4 FY25, reflecting growth of 24.4% YoY in rupee terms. It surged 7.2% QoQ (rupee terms) from ₹2,658.5 crore ($295.8 million) in the December quarter of FY26.

• It recorded its last twelve months attrition at 17.4% for the reporting quarter, compared with 17.6% in Q3FY26.

• As of March 31, 2026, the company had a total of 4,730 employees, of which 3,195 employees were based offshore in India, while the rest were at various onsite locations.

• The company added 12 new clients in Q4 FY26. Its total active clients during the quarter were 326, as against 333 in Q3 FY26.

Dividend recommended

Mastek's board of directors recommended a final dividend of ₹16 per equity share, at a rate of 320%, with a face value of ₹5 each for the financial year ended March 31, 2026, subject to the shareholders’ approval at the ensuing 44th Annual General Meeting (AGM).

It added that the dividend will be paid within 30 days from the date of approval at the ensuing AGM.

"The Record Date for the purpose of payment of the said Dividend for the Financial Year 2025-26 will be determined later and disclosed to the Exchange," it added.

Its total dividend for FY26, including the interim dividend of ₹8 per share, stood at ₹24 per share or 480%, compared to ₹23 per share or 460% in FY25.

Shares of the company closed 2.85% higher at ₹1,746 apiece on the National Stock Exchange (NSE) on Friday ahead of its earnings announcement.

Mastek has a total market capitalisation of ₹5,427.63 crore as of April 17, 2026, according to data on the NSE.