Latest news with #NitinRakesh
Time of India
3 days ago
- Business
- Time of India
Mphasis Q1 profit up 8.4% on-year on strong BFSI, TMT show
Blackstone-backed mid-sized IT firm Mphasis on Friday reported a first-quarter net profit of Rs 442 crore, up 8.4% from a year earlier by 1.1% lower for the quarter ended June 30 rose 9.2% YoY to Rs 3,732 crore, lifted by strong performance in its verticals serving the banking, financial services & insurance (BFSI) and technology, media & telecommunications sectors, despite a 50% fall in logistics & transportation business. On year, the revenue was almost the growth was boosted by the Americas, which constitutes more than 80% of revenue share, and India, led by ramp ups in recent large reported strong deal wins. Quarterly total contract value (TCV) at $760 million was the highest on record and up 138% from a year earlier. The management said 68% of these were the four large deals won in the June quarter, three were $100 million contracts and one was $50 million. Order from It saw a 47% increase in the banking and financial services (BFS) segment from a year earlier. Non-BFS orders rose 108%.Operating margin was flat sequentially at 15.3% and a tad higher from 15% a year an investor presentation, Mphasis CEO and managing director Nitin Rakesh and chief financial officer Aravind Viswanathan highlighted continued volatility and lack of tailwinds in the market, with decision cycles remaining elongated due to uncertainty and geopolitics and cyber still dominating Bengaluru-headquartered firm expects its growth in the congoing fiscal 2026 to be two times faster than the industry, 'on the back of our Q1 performance and steady conversion of TCV to revenue', according to the investor presentation. It targets an operating (EBIT) margin of 14.75-15.75% for the fiscal experts estimate the IT sector to grow around 3-5% this fiscal said its wholly owned US subsidiary, Mphasis Corporation, acquired a 26% stake through preferred shares in Bengaluru-based Aokah, a platform-as-a-service company designed to help enterprises set up, scale, and optimise global capability shares ended 1.3% lower at Rs 2,619.55 on the BSE Friday.
Mint
4 days ago
- Business
- Mint
Mphasis share price jumps 5% in a weak market; what is driving the stock after Q1 results?
Mphasis share price jumped over 5 per cent in intraday trade on the BSE on Friday, July 25, defying weak market sentiment. Mphasis shares opened at ₹ 2,628.80 against their previous close of ₹ 2,655.10 and rose 5.2 per cent to their intraday high of ₹ 2,792.50. Around 9:55 AM, the IT stock traded 3.44 per cent higher at ₹ 2,746.40. Equity benchmark Sensex was 0.43 per cent down at 81,831 at that time. The mid-cap IT company's Q1 results seem to have boosted investors' interest in the stock as it looks set to snap its seven-day losing streak on Friday. On Thursday, July 24, Mphasis said it recorded the highest-ever deal wins total contract value (TCV) of $760 million in Q1FY26, of which 82 per cent were in new-gen services. 'We were early adopters and implementers of AI-based solutions for our clients, which has positioned us well to help with their AI journey, create efficiencies, cost savings and minimise project risks, while at the same time, accelerating our business. This is reflected in our highest-ever quarterly TCV of $760 million, of which 68 per cent is AI-led. Overall, it is a good start to the new financial year, which sets the stage for the year ahead,' said Nitin Rakesh, Chief Executive Officer and Managing Director, Mphasis. Mphasis's gross revenue for the quarter grew 0.4 per cent quarter-on-quarter (QoQ) and 9.2 per cent year-on-year (YoY) in Q1FY26 on a reported basis and grew 1 per cent QoQ and 6.5 per cent YoY in constant currency. Net profit, however, declined 1.1 per cent QoQ but grew 9.2 per cent YoY to ₹ 441.7 crore. (This is a developing story. Please check back for fresh updates.) Read all market-related news here Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
Forbes
06-06-2025
- Business
- Forbes
Learning By Sharing: How GenAI Can Be The Giving Tree
Nitin Rakesh is the CEO and Managing Director of Mphasis and coauthor of the award-winning book 'Transformation in Times of Crisis.' Our world is witnessing a wave of advancements, from the emergence of automation to the implementation of artificial intelligence. For senior leaders, this acceleration presents opportunities and challenges. While striving to adopt cutting-edge technologies, they are also attempting to ensure these align with business objectives and ethical standards. One of the most transformative yet polarizing of these technologies is generative AI (GenAI). While it promises new avenues for creativity, problem-solving and efficiency, it also raises apprehensions about its impact on typical decision making processes. In this sense, GenAI remains a bit of a paradox for business leaders, as it is both a source of curiosity and a cause for concern. While executives see its immense potential as a transformative tool capable of boosting creativity, streamlining operations and generating efficiency gains across functions, there is an underlying wariness about how it can disrupt established workflows. In the face of GenAI's dual nature, executives are navigating a critical challenge of how to integrate this powerful technology without losing the distinctiveness of human intuition. Rather than framing GenAI as a disruptive force to be managed, a more productive perspective may be to see it as a collaborator—an enabler of shared growth and continuous learning. When viewed this way, I believe GenAI can become more of a partner in learning and development with whom leaders can foster a mutually beneficial relationship mirroring the spirit of mutual giving. However, embracing this potential demands a shift in mindset. It invites leaders to move beyond passive adoption and toward active stewardship of the human-AI dynamic. This reframing introduces important questions: Are leaders thoughtfully measuring GenAI's contributions, not just in efficiency but in depth and relevance? Are they engaging with it in ways that reflect their own values and expertise—training it, shaping it and learning from it in return? And perhaps most importantly, is their ongoing interaction with GenAI expanding their capacity for insight and growth? AI is not an autonomous force—it is a reflection of the data, intentions and perspectives we bring to it. Its development is inseparable from human input. The real opportunity lies not just in what AI can do for us, but in how the human-AI relationship can evolve into one of reciprocal enrichment. Consider an iconic children's literature classic: The Giving Tree by Shel Silverstein. In the story, the tree selflessly offers its apples, branches and eventually its entire trunk to the boy. This tale invites us to reflect on the nature of giving, taking and the balance of relationships. In much the same way, GenAI can be seen as a tireless provider—offering its computational power, adaptability and insights to organizations. Yet unlike the tree, GenAI does not give from a place of emotion or altruism. It responds to the quality of its inputs, the clarity of its training and the intentionality of its use. This analogy prompts a critical shift in how leaders approach AI. While it's tempting to focus solely on what GenAI can do for us—automating tasks, generating insights, fueling innovation—the more profound question is: What are we giving back? How are we shaping, stewarding and engaging with AI to ensure it grows in a direction aligned with human values and long-term impact? If organizations treat AI merely as an extractive tool, they risk building unsustainable dependencies. But if leaders approach the technology as a partner in co-evolution—offering guidance, expertise and ethical oversight—then GenAI becomes more than a resource. It becomes a trusted collaborator, capable of growing alongside the organization. Beyond GenAI's adoption, leaders must know its value, inspiring their teams to integrate AI into daily workflows. Evangelizing AI within the executive team is crucial to ensuring collective alignment, fostering a culture where AI is viewed as an augmentation of human expertise rather than a replacement. This requires a deep understanding of what GenAI can do, allowing leaders to define where it can have the most meaningful impact. For GenAI to truly benefit organizations, leaders must anchor its application in clear, measurable business objectives. Identifying the right problems for GenAI to solve and aligning its deployment with strategic goals ensures its use remains practical and value-driven. Governance is equally critical, ensuring that AI-driven decisions uphold ethical standards and comply with regulatory frameworks. Data quality, infrastructure readiness and an AI-savvy workforce further determine how effectively GenAI can be leveraged. The organizations that invest in these foundational aspects will be best positioned to turn AI into a long-term growth partner like the enduring relationship between the boy and the Giving Tree. When leaders take ownership and adopt an interactive approach, they create an environment of collaboration. Talented individuals are also drawn to such leaders—not just for their effectiveness but for their generosity and team-focused mindset. It is crucial that leaders actively coach GenAI so it evolves in tandem with organizational needs. By continuously refining and adapting its algorithms, leaders can make GenAI more iterative, refined, intelligent and thoughtful. Much like mentoring human employees, providing AI with feedback allows it to improve over time. For instance, organizations have enhanced customer service chatbots by training them on real user interactions, enabling them to respond with greater empathy and accuracy. These iterations ensure that AI evolves to handle more complex queries, improving both customer satisfaction and operational efficiency. With each successive interaction, AI becomes better suited to the evolving needs of an organization. This illustrates the timeless relevance of Moore's Law, which predicts that computing power will double every two years. Just as computing capacity expands exponentially, so too can GenAI's ability to solve complex problems as long as it is actively coached. As AI models become more advanced, the need for a growing network of skilled, human trainers becomes essential for their continued improvement. The constant feedback and refinement will fuel GenAI's exponential development—enhancing its capacity to transform businesses. The key to thriving in this new era of AI is learning how to strike the right balance with thoughtful strategy. As organizations continue to work closely with GenAI, partnerships will evolve, leading to exciting outcomes. What will be crucial to keep in mind is that this exchange between human and machine fosters sustainable progress built on collaboration and just practice. Forbes Technology Council is an invitation-only community for world-class CIOs, CTOs and technology executives. Do I qualify?
Mint
01-06-2025
- Business
- Mint
Mphasis to lose FedEx business accounting for 8% of total revenue
Mphasis Ltd has lost one of its oldest clients, which accounted for 8% of the revenue of India's seventh-largest information technology services firm, after FedEx Corp. selected Accenture Plc to do much of its IT work. This loss presents a fresh challenge for CEO Nitin Rakesh to replace the loss in business in a challenging economic environment. Three people familiar with the development said FedEx, which accounted for $130 million of Mphasis's $1.61 billion in revenue for the year ended March 2024, will end its business arrangement with the Bengaluru-based IT firm by the end of the year after a ten-month transition period. At its peak in FY2024, FedEx accounted for $35 million of Mphasis's revenue in a quarter; business from the logistics giant is expected to be nought by the end of 2025. Also Read: TCS revenue from Tata Group companies nears $1 billion This development could significantly impact Blackstone's plans to exit Mphasis. In 2016, Blackstone spent up to $1.1 billion to acquire 60.2% of the shares of the promoter, Hewlett-Packard, becoming the majority owner of Mphasis. In 2017, Nitin Rakesh assumed the role of CEO. Over the last nine years, Blackstone has cut its holdings to 40.14%. A loss in business from FedEx could hinder Mphasis's overall growth in the current fiscal year, making it more challenging for the New York-headquartered private equity giant to sell its holdings. Mintindependently could not ascertain the reason behind FedEx ending its over two-decade-old business ties with Mphasis. Nonetheless, FedEx is the third-largest client of Mphasis after banking giants JPMorgan Chase & Co. and Charles Schwab Corp. Mphasis's five largest clients accounted for 42% of its total revenue last year, according to the company's disclosure. JP Morgan brought in 14% of Mphasis's total business, while Charles Schwab, FedEx and two others accounted for 28%, according to an executive. Mphasis did not answerMint's questionnaire on the FedEx account and said it continues to have a 'robust and expanding pipeline." Mphasis optimistic 'As you are aware, we do not comment on individual client contracts," said a spokesperson for the company on Friday. 'We have a robust and expanding pipeline, with overall growth reaching 86% year-over-year and 26% sequentially in the fourth quarter (Q4FY25), marking the highest quarterly increase in the past 12 quarters. We also have a healthy pipeline, with non-BFS (banking and financial services) jump of 99%, significantly contributed by logistics and travel. Our large deals pipeline also saw a significant surge, rising 40% sequentially and 154% year-over-year, reflecting focused execution." Emails sent to FedEx and Accenture on 28 May went unanswered. Mphasis reported a 4.4% revenue growth last year to $1.68 billion, followed by a 6.3% revenue decline in the year ended 2024. This comes at a time when two of its other rivals have also witnessed slow business with their largest clients: Sonata Software Ltd, which ended with $1.2 billion in revenue last year, andLTIMindtreeLtd, which ended with $4.49 billion in revenue. Also Read: Tech Mahindra appoints Santosh Jha to lead GCC push amid industry-wide shift Mphasis's issue with one of its large accounts comes at a time when a few of its peers, including Sonata Software and LTIMindtree, faced problems with their large accounts. Sonata said it was likely to record lower-than-expected revenue from its 'largest client" Microsoft Corp, for January-March 2025, as reported byMinton 4 May. The sixth-largest IT firm, LTIMindtree, admitted to getting lower revenue from Microsoft as it passed productivity gains to the tech giant. Microsoft fetched upwards of $50 million and $100 million for LTIMindtree and Sonata Software, respectively. Still, Mphasis's management appeared guarded in response to questions raised on revenue decline from a top client. Explaining it away 'The decline you're seeing is not linked to any one customer," CEO Rakesh told analysts in a post-earnings interaction with analysts on 24 January, when asked about the decline in business from its largest clients. 'Some of it was expected, but it's not just one customer-led. I don't think it is constructive to over-index the conversation on 'a customer.' As I said, right, we are aware of all the speculation and the rumours. 'The talk of FedEx ramping down or cutting its partnership with Mphasis was making the rounds since last September," said a Mumbai-based analyst on condition of anonymity. 'They are trying to offset the loss through another big logistics player." This decline from FedEx suggests that large multinational companies are reassessing their tech strategies in the wake of Gen AI and an uncertain macroeconomic environment caused by US President Donald Trump's tariff reversals. Also Read: Infosys-Cognizant trade-secrets battle nears end as Dallas court passes order Last year, Mphasis's 4.43% growth was the slowest among all its mid-cap rivals, includingPersistent Systems Ltd andCoforge Ltd, which grew 18.8% and 31.9%, respectively. Worryingly for Mphasis investors, it was the only mid-cap company to report a decline in headcount, even as its rivals expanded their workforce. Mphasis ended the year with 1,222 fewer people, having 31,442 employees. To be sure, Bengaluru-headquartered Mphasis has seen a decline in business from logistics and transportation companies since March 2023. Revenue from these companies, which accounted for 13.3% of the total at the end of March 2023, comprised 12.5% of overall revenue last year.
Techday NZ
19-05-2025
- Business
- Techday NZ
Kore.ai collaborates with AWS to boost AI adoption for business
has entered into a strategic collaboration agreement with Amazon Web Services to integrate its agent AI platform and business solutions with a range of AWS services. The agreement will enable technology to work in conjunction with AWS services such as Amazon Bedrock, Amazon Q, and Amazon Connect, aiming to accelerate the adoption and deployment of AI tools for various business requirements. which was recognised as an AWS Innovation Award winner for "Generative AI/ML Market Disruptor of the Year" in January 2025, has focused on developing integrations that run on AWS infrastructure. These integrations are intended to support greater adaptability and scalability for customers, improving customer experience and operational efficiency. The Agent Platform, including solutions designed for work, service, and process automation, will also be available through the AWS Marketplace. This agreement provides AWS customers with additional ways to access, purchase, and implement offerings hosted on AWS. Raj Koneru, Founder and Chief Executive Officer of said, "We are excited to expand our collaboration with AWS, combining innovative AI agent platform and business solutions with AWS powerful cloud infrastructure. Through this strategic agreement, and AWS will bolster our existing collaborative efforts in product integration and go-to-market strategies, expediting innovation and the realisation of benefits for hundreds of our mutual customers. We are enabling global businesses to accelerate their AI adoption by simplifying the implementation of advanced AI technologies, helping them achieve transformative outcomes in today's rapidly evolving landscape." Under the terms of the collaboration, has joined the AWS ISV Accelerate Program. This enables to work closely with AWS sales teams on joint opportunities, making it easier for enterprises to deploy AI solutions via the AWS Marketplace. Both parties state that these programmes will further reinforce the partnership and support scalable adoption of enterprise AI. approach includes joining forces with partners to implement AI at enterprise scale. Nitin Rakesh, Chief Executive Officer of Mphasis, commented, "As a leading software services and consulting company, we help large enterprises around the world adopt AI technology in a safe, secure, and scalable way. We are proud to be a strategic implementation partner of and we feel especially confident knowing that foundation on AWS, delivering unmatched reliability and scalability." Chris Casey, Head of AWS Partnerships for Asia-Pacific and Japan, said, "As preferred cloud provider, we are excited to expand our collaboration and to reinforce our shared commitment to empowering customers in the AI era. The goal of this collaboration is to accelerate innovation and productivity for our customers by combining AWS cloud infrastructure with adaptable and scalable AI platform and business solutions." and AWS indicate that the ongoing partnership is intended to enhance business flexibility and unlock additional value for customers across multiple sectors by combining AI technologies with AWS's cloud services.
