• Q1 financial performance: Happiest Minds achieved 14.3% year-over-year revenue growth, a 14.7% increase in adjusted PAT, and an adjusted EPS of ₹5.34 per share. Constant currency sequential growth stood at 2.9%, keeping the company on track toward its 12.5% full-year constant currency guidance.
• Discretionary IT spending: Overall client budgets are holding steady, with savings from SDLC AI adoption and regular maintenance optimization being redirected into innovation, new features, and application development.
• BFSI vertical growth: Accounting for 27% of total revenue, BFSI remains the company's largest vertical, strengthened by the PureSoftware acquisition. FinTech and InsurTech clients are adopting agentic AI aggressively, while larger banking institutions are proceeding with deliberate risk and benefit assessments.