Happiest Minds has released its Q3 FY’26 financial presentation, detailing solid sequential and yearly growth. Total Income reached ₹60,328 Lakhs, marking a 4.8% YoY revenue increase for the quarter. Profit After Tax (PAT) stood at ₹4,030 Lakhs. The company maintains strong operational efficiency, with Operating Margin at 17.4% for Q3 FY’26, reflecting continued focus on AI-Native capabilities and digital transformation services across key industry verticals.
Q3 & 9M FY’26 Financial Results Overview
Happiest Minds Technologies Limited has announced its financial and operational performance for the third quarter and nine months ended December 31, 2025. The firm reported Total Income of ₹60,328 Lakhs in Q3 FY’26, up 4.8% YoY. For the 9M FY’26 period, Total Income grew by 11.7% YoY to ₹1,77,840 Lakhs.
EBITDA for the quarter was ₹12,283 Lakhs (20.4% margin), compared to ₹11,686 Lakhs (21.1% margin) in Q3 FY’25. Profit Before Tax (PBT) before exceptional items stood at ₹7,624 Lakhs in Q3 FY’26, benefiting from a comparatively lighter Q3 FY’26 due to a ₹2,203 Lakhs one-time cost related to the new wage code in this quarter.
Reported Profit After Tax (PAT) for Q3 FY’26 was ₹4,030 Lakhs, resulting in an Adjusted PAT of ₹6,992 Lakhs (11.6% margin). Adjusted EPS for the quarter was ₹4.64.
Operational Efficiency and People Metrics
Utilization metrics showed strength, with utilization rising to 82.0% in Q3 FY’26, supported by a total headcount of 6,548 Happiest Minds. Voluntary Attrition for the trailing twelve months (TTM) stabilized at 17.4%. Offshore mix remained dominant at 87.9% for the quarter.
The company continues to demonstrate high levels of efficiency, with Operating Margin at 17.4% in Q3 FY’26, showing strong cost management compared to 17.5% in Q3 FY’25.
Business Mix and Growth Drivers
Digital revenue continued to form the core of the business, contributing 96.1% of total revenue in Q3 FY’26, while Agile services accounted for 4.0%. The largest business unit remains PDES (Product & Digital Engineering Services) at 77.0% of revenue.
In terms of service offerings, Digital Infrastructure / Cloud remains the largest segment at 52.2% of service revenue, closely followed by SaaS at 23.0%. AI / Analytics contributed 9.8%.
Geographically, the Americas led revenue contribution at 59.8% in Q3 FY’26, with India contributing 17.3%.
Vertical performance highlights strong concentration in BFSI (26.0%) and Healthcare (18.7%) for the quarter.
Customer Strength and Contract Model
The company maintained a high volume of active customers, totaling 297 customers. Customer concentration remains controlled, with the Top 20 customers contributing 54.7% of revenue, while the Top 5 contributed 25.0%.
The contract mix shows a continued preference for Time and Material (T&M) contracts at 71.5%, with Fixed Price accounting for 28.5%.
Key Company Achievements and Recognition
The presentation also featured several recent wins and accolades demonstrating domain leadership:
- Successfully deployed a GenAI driven automation solution for a Global FMCG Leader to monitor vendors.
- Assisted a Top United States Based Insurance Provider in defining its enterprise-wide AI roadmap.
- Received recognition at the 9th Edition India DevOps Show 2025 for the Best Use of AI in DevOps (IT Services).
- Recognized as a Top Employer India 2026 for People-First Practices.
- Testimonials highlighted successful GenAI projects with partners like Coca-Cola Beverages Vietnam and enhanced productivity through innovative interfaces.
Source: BSE
