Happiest Minds Technologies reported its Q4 FY26 revenues at ₹604.10 crore, falling short of estimates that predicted ₹645.50 crore. This represents a quarter-on-quarter increase of 2.8% and a year-on-year growth of 10.9%. In USD terms, revenues showed a slight decline of 1.1% quarter-on-quarter, amounting to $65 million.
For the fiscal year 2026, total revenues stood at ₹231.50 crore, reflecting a year-on-year increase of 12.3%, while USD revenues reached $265.8 million, up 9.1% year-on-year. The Earnings Before Interest and Taxes (EBIT) margin for Q4 was recorded at 13.6%, which marks a decline of 90 basis points from the previous quarter and is below CIE’s estimate of 15.6%. Over the full year, the EBIT margin remained stable at 13.6%, representing an annual increase of 70 basis points.
The Profit After Tax (PAT) for Q4 amounted to ₹6.12 crore, showcasing a quarter-on-quarter increase of 51.8% and a year-on-year rise of 32.5%. For the full fiscal year, PAT totaled ₹21.26 crore, reflecting an 8% increase from the previous year.
The company’s margin held steady at 17.5%, supported by enhanced utilization and operational efficiencies. However, ongoing investments in artificial intelligence may impact near-term profitability. Management anticipates an improvement in margins by approximately 100 basis points over time, targeting an operating margin range of 17.5% to 18.5%.
Looking ahead, the company forecasts revenue, EBIT, and PAT to grow at a compound annual growth rate (CAGR) of 16.5%, 21.2%, and 25.6% respectively from FY26 to FY29. While maintaining a ‘Buy’ rating, analysts have revised the target price to ₹560, down from the earlier target of ₹620, based on the projected earnings per share for FY28.
Published on June 1, 2026.
