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Mastek Share Price Jumps Nearly 12%: What's Driving the Surge Despite Mixed Results?

Written by: Aayushi ChaubeyUpdated on: 21 Jul 2025, 4:57 pm IST
Mastek share price surged nearly 12% on Monday despite reporting a weak quarter. Know why.
Mastek Share Price Jumps Nearly 12%: What's Driving the Surge Despite Mixed Results?
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Mastek share price surged nearly 12% on Monday’s trading session. This rise is notable, especially considering that the company showed some weaknesses in its most recent quarterly performance. Mastek is now a top performer on the BSE Smallcap Index.

Mastek Q1 FY26 Earnings Results

In the past quarter, Mastek's revenue, when measured without currency changes, dropped by 1.1% compared to the previous quarter. This marks a break after four quarters of continuous growth. In the quarter before that, this growth was a healthy 4.1%.

The company's profit margins also faced pressure, falling for the third quarter in a row. They went from 15.3% in the last quarter to 15% this quarter, and were also lower than the 15.25% seen in the same quarter last year.

Why is Mastek Share Price Still Rising?

Despite these challenges, several factors are making investors optimistic about Mastek:

  • Profit Boost: Mastek's net profit went up by 13.5% from the previous quarter. This was helped by other income the company received.
  • Strong Cash Position: The company has a healthy amount of cash, totaling ₹549 crore, which indicates financial stability.
  • UK Growth: A major positive is Mastek's performance in the UK, its core market. This region saw a strong 9.6% growth compared to the previous quarter. The UK is very important to Mastek, contributing almost 64% of its total revenue.
  • Healthy Order Wins: The company continues to win new business. Order wins increased by 2.5% from the previous quarter and were up 8.3% compared to the same period last year.
  • India-UK Free Trade Agreement: A significant piece of news is the upcoming signing of the India-UK Free Trade Agreement this week. Prime Minister Narendra Modi is expected to visit the UK for this important deal. This agreement could open up new opportunities for companies like Mastek that have a strong presence in both countries.

Mastek Share Price Performance

At 11:15 AM, Mastek share price was up 10.25% and was trading at ₹2,749.00. The stock is getting closer to its recent 52-week high of ₹3,375. However, even with this recent surge, the stock is still down 8% since the beginning of the year.

Read more: Bank NIFTY Snapshot on July 21, 2025: Returns, Top Stocks & Trends.

Conclusion

Mastek share price movement reflects strong investor confidence driven by its UK performance, steady order wins, and the potential impact of the India-UK Free Trade Agreement. Together, these factors position the company well for future growth. For investors looking to capitalise on such opportunities, having an active Demat account is essential to stay ready for action.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

Published on: Jul 21, 2025, 11:23 AM IST

Aayushi Chaubey

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