Financial Performance Summary

Quarterly Performance (Q2 FY27 vs Q1 FY27 vs Q2 FY26):

  • Revenue: ₹759.6 Cr (-2.0% QoQ, -0.6% YoY)
  • EBITDA: ₹78.8 Cr (+2.5% QoQ, -7.5% YoY)
  • EBITDA Margin: 10.4% (+45bps QoQ, -78bps YoY)
  • Reported PAT: ₹8.9 Cr (+204.0% QoQ, +223.8% YoY)
  • PAT Margin: 1.2% (+80bps QoQ, +82bps YoY)

Half-Yearly Performance (H1 FY27 vs H1 FY26):

  • Revenue: ₹1,534.7 Cr (+2.3% YoY)
  • EBITDA: ₹155.7 Cr (-7.2% YoY)
  • EBITDA Margin: 10.1% (-104bps YoY)
  • Reported PAT: ₹11.9 Cr (-4.8% YoY)
  • PAT Margin: 0.8% (-6bps YoY)

Segment Performance

Business Segment Breakdown (Q2 FY27):

  • BPM Segment: ₹516.1 Cr (67.9% of total, -4.0% QoQ, -3.7% YoY)
  • Tech & Digital Segment: ₹243.6 Cr (32.1% of total, +2.6% QoQ, +6.6% YoY)

Geographical Revenue Breakdown (Q2 FY27):

  • Domestic: ₹436.8 Cr (57.5% of total, -8.9% QoQ, -8.9% YoY)
  • International: ₹322.8 Cr (42.5% of total, +9.2% QoQ, +13.5% YoY)

Operational Highlights

Growth Metrics:

  • Tech & Digital revenue grew 6.6% YoY and 2.6% QoQ to ₹243.6 Cr
  • International revenue grew 13.5% YoY and 9.2% QoQ to ₹322.8 Cr
  • AI-led revenue doubled QoQ to ₹30.5 Cr (4.1% of total revenue vs 1.9% in Q1FY27)
  • TCV (Total Contract Value) bookings nearly doubled QoQ to approximately ₹400 Cr
  • 34 key logo wins during the quarter

Strategic Initiatives:

  • Implemented one enterprise, one operating model
  • Leadership reset across business units, sales and corporate functions
  • Repriced contracts and exited low-margin business to improve cash and working capital
  • Embedded AI across three layers: AI-infused BPM, AI-enabled platforms, and Data, AI & Cloud-led professional services
  • Strengthened go-to-market engine with dedicated India and International sales teams
  • Signed strategic alliances with AWS and Anthropic
  • Scaling GCC offering through Build-Operate-Transfer (BOT) model

Financial Position & Commentary

Balance Sheet Strength:

  • Net cash position of ₹76 crore as of quarter end
  • No exceptional items reported in Q2 FY27

Management Commentary:

Sameer Ahluwalia, Group Chief Executive Officer and Executive Director:

  • Q2 demonstrates clear progress against four priorities set at start of year
  • Unified organization under one operating model
  • Strengthened leadership across the business
  • Taken decisive actions to improve quality of revenue and margins
  • Building momentum in growth engines with TCV up 95% sequentially
  • Strategic alliances with AWS and Anthropic strengthen AI-led proposition
  • Enter H2 with stronger organization, sharper portfolio
  • Focus on accelerating profitable growth, cash generation and AI-led transformation

Harigovind Krishnasamy, Group Chief Financial Officer:

  • Q2 reflects improving earnings quality and disciplined execution
  • Revenue decline reflects conscious repricing of contracts and exit from low-margin business
  • Priority in H2 is to accelerate conversion of bookings into revenue
  • Focus on improving collections and working capital
  • Continue shifting revenue mix towards higher-growth Tech & Digital, International and AI-led businesses

Company Background

Digitide Solutions Limited is an AI-first business services and technology company serving over 300 clients across India, US, Middle East and Southeast Asia. The company operates across two business lines: BPM (delivering AI-infused customer experience, collections, healthcare revenue cycle management and enterprise services) and Tech & Digital (delivering Data, AI, Cloud and GCC enablement services, along with proprietary platforms across insurance and HR & Payroll). The company focuses on BFSI, healthcare and technology sectors and is headquartered in Bengaluru with Fairfax as its long-term promoter shareholder.