Mastek Limited has reported a significant increase in its net profit for the first quarter of the fiscal year 2026, which concluded on June 30, 2025. The company announced a consolidated net profit of ₹92.05 crore, marking a substantial year-on-year growth of 28.74% compared to ₹71.50 crore in the same period of the previous fiscal year. This performance highlights Mastek's strategic focus and successful execution within the IT services sector, particularly in the areas of AI and digital transformation.
The company's revenue from operations also saw a healthy increase, reaching ₹914.70 crore, which is a 12.52% rise from the corresponding quarter last year. This sustained revenue growth, coupled with a strong net profit, has been positively received by the market. On July 21, 2025, Mastek's share price reflected this positive sentiment, surging by over 9% to ₹2,725 per share.
A key contributor to Mastek's success in Q1FY26 has been its strong performance in the UK and Europe, with notable strength in the healthcare and government services sectors. The company's strategic investments in Artificial Intelligence are also yielding tangible results, with the finalisation of over 10 AI-related deals during the quarter. Mastek's financial health is further supported by a 12-month order backlog of ₹2,347.9 crore as of June 30, 2025, an 8.3% increase year-on-year, indicating a robust pipeline of future business.
The broader economic landscape in the UK, as of mid-August 2025, shows a resilient economy with GDP growth exceeding expectations, supported by strong exports and government spending. The UK IT services market is experiencing robust growth, projected to reach USD 100.7 billion by 2033, driven by advancements in AI, cloud solutions, and digital transformation initiatives. Mastek's strategic emphasis on AI and digital engineering, alongside its strong presence in the UK and European markets, positions it favourably to capitalise on the ongoing digital evolution across industries.