Q2 Results: Mphasis Confident Of Meeting Margin Guidance Despite Wage Hikes
Mphasis is confident of achieving its 15-17 percent margin target despite an impending wage hike in the third quarter.
“We have a lot of operating levers in play for us to expand operating margins,” Chief Executive Officer Nitin Rakesh told BloombergQuint in an interaction.
The BPO operator’s margins contracted to 16.4 percent during the three July-September period from 16.6 percent in the first quarter, according to its exchange notification.
Key earnings highlights (Q2, Quarter-On-Quarter):
- Revenue up 5.2 percent to Rs 1,915 crore
- Revenue growth on constant currency basis was 3 percent.
- Net profit up 5 percent to Rs 271 crore.
- EBIT up 4 percent to Rs 315 crore.
- EBIT margin stood at 16.4 percent against 16.5 percent.
Watch the full conversation here: