CALCULATE YOUR SIP RETURNS

Mphasis Share Price in Focus After Clarification on FedEx Business Ties

Written by: Kusum KumariUpdated on: Jun 3, 2025, 12:12 PM IST
Mphasis says it still works with FedEx, dismisses report of losing the client as speculative. Shares fall 2.5% amid investor concern.
Mphasis Share Price in Focus After Clarification on FedEx Business Ties
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

IT services firm Mphasis clarified that it continues to serve FedEx, following a news report suggesting that the company was losing its long-time client. Based on the Mint report claimed that FedEx selected Accenture for its IT services and would soon end its $130 million business arrangement with Mphasis, which contributed about 8% to its FY24 revenue.

Mphasis Calls Report 'Speculative'

Mphasis responded to the stock exchanges, saying it does not comment on speculative articles or client contracts. However, it confirmed that it remains a part of the FedEx service ecosystem. The company assured investors that its previously shared outlook and business assessment still hold.

Mphasis Share Price 

As of 11:57 AM IST on June 3, Mphasis share price is trading at ₹2,507.90, up ₹16.80 or 0.67% for the day. The stock opened at ₹2,520.00 and has touched an intraday high of ₹2,533.70 and a low of ₹2,480.70. Mphasis has a market capitalisation of ₹47,710 crore, a price-to-earnings (P/E) ratio of 28.07, and offers a dividend yield of 2.27%. The stock has a 52-week high of ₹3,237.95 and a 52-week low of ₹2,044.55.

Financial Highlights 

Mphasis reported a 13.6% YoY rise in net profit to ₹446.5 crore for Q4 FY25, driven by better margins and strong BFSI revenue. Revenue grew 8.7% to ₹3,710 crore from ₹3,412 crore in Q4 FY24. Operating margin stood at 15.3%, up from 14.9% a year ago. 

Read More, Inox Wind Share Price Drops for the 2nd Day on June 3; Know the Reason Behind the Fall

Possible Headwinds in FY26

Despite recent wins, management warned that second-order effects in BFSI could slow growth in the second half of FY26.

Conclusion

While Mphasis has reassured investors about its ongoing relationship with FedEx and posted strong Q4 results, uncertainties remain around the BFSI sector outlook. Continued monitoring of client dynamics and deal momentum will be crucial for assessing the company’s performance in FY26.

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: Jun 3, 2025, 12:12 PM IST

Kusum Kumari

Kusum Kumari is a Content Writer with 4 years of experience in simplifying financial market concepts. Currently crafting insightful content at Angel One, She specialise in breaking down complex topics into easy-to-understand pieces, blending expertise in market fundamentals and technical analysis.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3 Cr+ happy customers