Synopsis: B2B learning and platform solutions company’s stock jumped 18.5 percent after reporting record Q1 FY27 results, backed by strong revenue and profit growth, and reiterated its FY27 EBITDA target of over Rs 300 crore.
The share of this company, which is a B2B learning and platform solutions company powering education and research for corporates, gained investor traction after strong Q1 numbers.
With a market capitalization of Rs 4,291.85 crore, MPS Ltd’s share on Wednesday made a day high of Rs 2,536.85 per share, up by 18.5 percent from its previous close price of Rs 2,140.30 per share. The share of this company has given 3 percent over the last year and has an ace investor, Mukul Mahavir Agrawal, holding around 4.46 percent in Q1 FY27.
Result Overview
QoQ View: The revenue from operations grew by 9.30 percent QoQ to Rs 224.24 crore in Q1 FY27 from Rs 205.16 crore in Q4 FY26, and EBITDA grew by 14.00 percent QoQ to Rs 76.96 crore in Q1 FY27 from Rs 67.51 crore in Q4 FY26, with the EBITDA margin expanding to 34.32 percent from 32.90 percent.
This was accompanied by a PAT growth of 7.12 percent QoQ to Rs 50.39 crore in Q1 FY27 from Rs 47.04 crore in Q4 FY26, while the PAT margin slightly contracted to 22.47 percent from 22.93 percent.
YoY View
The revenue from operations grew by 20.38 percent YoY to Rs 224.24 crore in Q1 FY27 from Rs 186.28 crore in Q1 FY26, and EBITDA grew by 53.03 percent YoY to Rs 76.96 crore in Q1 FY27 from Rs 50.29 crore in Q1 FY26, with the EBITDA margin expanding to 34.32 percent from 27.00 percent.
This was accompanied by a PAT growth of 42.99 percent YoY to Rs 50.39 crore in Q1 FY27 from Rs 35.24 crore in Q1 FY26, with the PAT margin expanding to 22.47 percent from 18.92 percent.
Revenue Segmentation
The company’s revenue mix remained well diversified in Q1 FY27, with the Research segment continuing to contribute the largest share at 55.0 percent of total revenue. However, its contribution declined from 58.3 percent in Q4 FY26 and 58.4 percent in Q1 FY26, indicating that other business segments are growing at a faster pace and reducing dependence on a single revenue stream.
The Education segment strengthened its contribution to 32.7 percent in Q1 FY27, up from 29.3 percent in Q4 FY26 and 27.7 percent in Q1 FY26, reflecting healthy growth in this business. Meanwhile, the Corporate Learning segment remained stable at 12.3 percent, compared to 12.4 percent in Q4 FY26 and 13.9 percent in Q1 FY26, providing consistent support to the company’s overall revenue mix.
Geographic Revenue Mix: The company’s geographic revenue mix remained well balanced in Q1 FY27, with North America contributing 49 percent of total revenue, compared to 52 percent in Q4 FY26 and 51 percent in Q1 FY26. Europe accounted for 33 percent, unchanged from Q4 FY26 and higher than 29 percent in Q1 FY26, while the Rest of the World contributed 18 percent, up from 15 percent in Q4 FY26 but slightly lower than 20 percent in Q1 FY26.
Q1 Key Highlights
Record Q1 Performance
The company reported its best-ever first quarter, with revenue rising 20.38 percent YoY to Rs 224.24 crore in Q1 FY27, compared to Rs 186.28 crore in Q1 FY26. It also recorded its highest-ever EBITDA and profit for a first quarter, supported by strong growth across its business segments.
Growth Across All Businesses
The Research Solutions business, excluding AJE, grew 26.33 percent YoY, helped by new client wins and higher business volumes. The Education Solutions segment increased 42.21 percent YoY, mainly due to the first full-quarter contribution from Unbound Medicine, which added recurring healthcare revenue and expanded the company’s customer base. The Corporate Learning business also continued to improve, with EBITDA margin reaching 25.33 percent as restructuring efforts started showing results.
Confident FY27 Outlook
The company maintained its FY27 EBITDA guidance of more than Rs 300 crore, which is a 27 percent growth target from its FY26 EBITDA of Rs 235.85 crore. In Q1 FY27, EBITDA stood at around Rs 77 crore, which is nearly 26 percent of its full-year target. Management said the second half of the year has usually been stronger than the first, giving it confidence that it can comfortably cross its FY27 EBITDA target.
About the Company
MPS, a leading global provider of platforms, content, and learning solutions for the digital world, was established as an Indian subsidiary of Macmillan (Holdings) Limited in 1970. With services like Content solutions, platform solutions, and e-learning solutions for different categories of customers.
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