Total Income: ₹56 crores, increased by 8.1% year-on-year
EBITDA: ₹5.04 crores, grew by 68.5% YoY
EBITDA Margin: 8.99%, improved by 322 basis points from 5.77% in Q4 FY25
Net Profit: ₹8.96 crores compared to ₹1.13 crores in Q4 FY25
Annual Financial Performance (FY26 Consolidated)
Total Income: ₹193.50 crores
EBITDA: ₹7.23 crores
EBITDA Margin: 3.74%
Net Profit: ₹75.60 crores (includes exceptional gain from reclassification of Dev Accelerator investment following its IPO)
Diluted EPS: ₹13.25
Strategic Partnerships and Business Developments
XDuce Infotech Partnership: U.S.-based IT service company acquired 25% stake from promoters. Expected to strengthen capabilities in AI, cybersecurity, and international market expansion
Business Expectations from XDuce: $1-2 million in FY26, growing to $3-5 million in FY27 with 15-20% YoY growth thereafter
Revenue Split with XDuce: 80% to Dev IT (offshore development), 20% to XDuce (front-end)
UCI New York Partnership: Signed shareholding agreement for 25% stake acquisition in UCI, expected to provide $3 million worth of Microsoft Dynamics business in U.S. market
A21 Technologies Agreement: Exclusive master distribution agreement to scale AI-powered intelligence platform across India and MENA region
Technology Focus and Capabilities
Core focus on ABCD services: AI, Blockchain, Cybersecurity, Cloud, Data and Data Centers
Achieved all 6 Microsoft Solution Partner Designations (approximately 5% of Microsoft partners achieve this)
Maintain CMMI Level 5 certification
27% of revenue comes from Managed IT services (non-manpower based)
Market and Geographic Performance
Export Business: ₹45 crores in FY26 (previously ₹35 crores)
Cloud revenue: ₹25 crores
Cybersecurity: ₹5-8 crores
India Market: ₹110 crores (67% of total revenue), focused on government and corporate sectors
Current Order Book: ₹50-60 crores
Customer Base: 600-700 live customers, added 35-40 strategic customers in FY26
Repeat Customer Revenue: 27-30%
Operational Metrics
Employee Strength: 1,000-1,100 people
Average Deal Size: $80,000-100,000 for 2-year contracts
Restructuring and Divestment
Board approved transfer of Talligence and product businesses to Technosys Private Limited for cash consideration of approximately ₹11.90 crores
Rationale: Better value creation, allows focus on scaling core technology service business, attracts strategic investment opportunities
FY27 Outlook and Guidance
Revenue Target: ₹200 crores for FY27
Growth Expectation: 15-20% growth in FY28
Focus Areas: Continued strengthening of ABCD services, North American market expansion, enterprise customer acquisition
Challenges and Strategic Decisions
FY26 revenue growth limited to 5% due to strategic focus on India market (lower margins but provides stability during geopolitical uncertainty)
EBITDA margin decline attributed to: absence of exceptional income (₹13 crores in previous year reduced to ₹4 crores), focus on India market, investment in ABCD capabilities, partnership integration costs
