Financial Performance Highlights

Full Year FY26 Results:

  • Revenue from operations: ₹168 crore, representing 35% year-on-year growth
  • Profit After Tax (PAT): ₹16.09 crore, representing 67% year-on-year growth
  • PAT margin improved from 7.7% to 9.5%
  • Annual Recurring Revenue (ARR) grew to ₹118 crore from ₹60-65 crore in previous year

Four-Year Financial Trend (FY22-23 to FY25-26):

  • Revenue CAGR: 32.17% (from ₹72 crore to ₹168 crore)
  • EBITDA margin CAGR: 60%
  • PAT CAGR: 47.14%
  • ARR grew from ₹20 crore to ₹120 crore over four years

Q4 FY26 Performance:

  • Domestic revenue contribution: 86%
  • Export revenue contribution: 14%
  • Primary revenue drivers: License and software sales, implementation and consulting services
  • EBITDA margin declined due to strategic investments in international expansion

Operational and Strategic Developments

Order Book and Customer Base:

  • Total order book: ₹600 crore
  • Executed orders: ₹230-235 crore
  • Pending execution: ₹330 crore
  • Customer base: 150+ customers across BFSI, healthcare, telecom, manufacturing, IT/ITES, BPO, and retail sectors
  • Marquee clients include HDFC Bank, Axis Bank, Reliance, Jio, Vodafone, Accenture, Wipro, TCS, Tech Mahindra, and TaskUs

International Expansion:

  • Established Australia subsidiary during FY26
  • Existing subsidiaries: US, Singapore, Australia, and Exato Infotech (telecom/cloud hosting)
  • Current international revenue contribution: 28-30%
  • Target: 50-55% international revenue contribution within next two years
  • International gross margins: 30-35% vs domestic 22-24%

Leadership Team Additions:

  • Mr. Naveen Krishna joined as Chief Revenue Officer (30+ years experience in global markets)
  • Mr. Muralidharan (Murali Menon) joined as Chief AI Officer (former TCS CTO with 21 years experience)
  • Mr. Gopinath P Bailur elevated to Chief Operating Officer (30 years CX industry experience)
  • Dr. Milind Godbole appointed as Non-Executive, Non-Independent Director (former CEO of healthcare BPO)

Business Lines and Solutions:

1. CX and Analytics: Omni-channel contact centers, customer journey design, platform monitoring

2. Conversational AI: Chatbots, voice bots, multilingual context-aware conversations

3. Automation as a Service: Back-office and front-office processes, AI-driven quality monitoring

4. Workforce Management: Forecasting and scheduling solutions

5. Unified Communication & Infrastructure: AI infrastructure deals, hardware business

6. Exato IQ Proprietary Platform: AI-powered platform deployed with HDFC Bank, Axis Bank, TaskUs

Strategic Initiatives:

  • AI Focus: Received two Agentic AI orders from US and UK customers
  • Planning partnership with large AI company for LLM and complete GTM (under NDA)
  • Targeting 15-20% revenue from proprietary IP in next 3-4 years (currently 2-3%)
  • ERP Expansion: Acumatica partnership closed two deals in FY26 with significant pipeline
  • Infrastructure Business: New focus area targeting 30-35% revenue contribution in 2-3 years
  • Managed Services: Won ₹172 crore managed services deal on March 31, 2026

Global Partnerships and Recognition:

  • Platinum partner for NICE (6th year) and Mitel
  • APAC Partner of the Year award
  • Won five awards at NICE event in Busan
  • Key OEM partnerships: NICE, Mitel, Acumatica, Cisco, HP

Capital Structure and Investments

  • Reduced long-term borrowing using IPO funds
  • Significant improvement in net worth
  • Strategic investments in international expansion, leadership hiring, and industry events
  • Sponsorship and participation in Acumatica Global Event, London and Spain customer events
  • Building global business development team of 20 people for lead generation

Future Outlook and Guidance

FY27 Guidance:

  • Revenue growth target: 50-60%
  • PAT growth target: 50-60%
  • Expect higher margins from international expansion and services focus

Strategic Targets:

  • Expand customer base from 150 to 500-600 customers in 3-4 years
  • Achieve mainboard listing in next three years
  • Target US Partner of the Year recognition
  • Explore inorganic growth through acquisitions (talking to 3-4 companies)
  • NASDAQ aspiration mentioned

Investment Focus:

  • Continue investment in international geographies (US, UK, Singapore, Australia)
  • Build AI-as-a-service practice
  • Develop proprietary IP platform with AI enhancements
  • Expand infrastructure business vertical

Q&A Session Key Points

Financial Performance:

  • Increased software/hardware purchase (81% vs 67% previously) due to AI infrastructure deals
  • Strategy to diversify into hardware business for top-line growth
  • Margin compression in hardware deals expected to be compensated by higher-margin services

Investor Relations:

  • Shareholder base declined from 700 to 500 due to lock-in expiration and profit booking
  • Commitment to quarterly results disclosure despite SME guidelines requiring only half-yearly
  • Focus on business building with planned investor engagement activities

Execution Strategy:

  • 30-35% of ₹380 crore pending order book to be billed in FY27
  • Hybrid delivery model (sell internationally, deliver from India)
  • Hybrid sales model (inside sales team + feet on street)
  • Focus on managed services accounts and consulting-led services

Vertical Focus:

  • 75% of order book from BPO/KPO vertical
  • 20% from BFSI
  • 5% from other verticals
  • Healthcare vertical strength through two large customers (₹130 crore and ₹95 crore contracts)

Financial Impact Assessment

  • Confirmed financial impact: Revenue growth of 35%, PAT growth of 67%
  • Contingent exposure: Acquisition discussions underway (3-4 companies)
  • Subject-to-approval: Large AI partnership under NDA
  • Capital structure impact: Reduced debt, improved net worth from IPO funds utilization
  • Cash flow implications: Continued investment in international expansion expected to generate returns in 1-2 quarters