Financial Performance Summary
Revenue Performance:
- Total Revenue: ₹151.2 crore
- Year-over-Year Growth: 11.5% increase
- Quarter-over-Quarter Growth: 8.7% increase
Profitability Metrics:
- EBITDA: ₹18.4 crore
- Year-over-Year EBITDA Growth: 7.2% increase
- Quarter-over-Quarter EBITDA Growth: 20% increase
- EBITDA Margin: 12.3% (expanded 113 basis points sequentially)
- Profit After Tax (PAT): ₹11.2 crore
- Quarter-over-Quarter PAT Growth: 16.9% increase
- PAT Margin: 7.5%
- Diluted EPS: ₹4.98 for the quarter
Note: All figures exclude one-time exceptional item due to new labour code in Q3 FY26
Business Highlights
Contract Wins:
- Won ₹33 crore contract to set up a dedicated Offshore Development Center (ODC) for a leading global power management company
Capital Allocation:
- Successfully completed Q1 FY27 share buyback programme
- The buyback reflects Board's confidence in the company's business model, cash generation capabilities, and long-term growth prospects
Client Metrics:
- Number of clients billing over US$1 million increased to 18 in Q1 FY27 (from 16 in Q4 FY26)
Management Commentary
Mr. Jigar Mehta, Managing Director, Onward Technologies commented:
Q1 FY27 was a solid start to the year with strong YoY growth of 11.5% and sequential growth of 8.7% over Q4 FY26. The company made progress across strategic accounts, expanded offshore delivery footprint, and strengthened Digital Engineering and ER&D capabilities.
Operational focus remains on profitable growth, improving delivery efficiency, and deepening client relationships. The 20% sequential EBITDA growth with margins at 12.3% reflects this operational focus.
While quarterly performance can vary based on programme ramp-ups and customer decision cycles, the outlook for the year remains unchanged. The company continues to target double-digit revenue growth and double-digit EBITDA growth for FY27.
Management remains confident in the ability to create long-term value through disciplined execution and operational excellence.
Company Business Overview
Onward Technologies Limited is a software outsourcing company specializing in digital and engineering research & development (ER&D) services for global clients. Headquartered in Mumbai, India, the company serves customers across North America and Europe, supporting product development and engineering initiatives across multiple sectors including:
- Industrial Equipment
- Off-Highway
- Energy
- Data Centers
- Automotive
- Rail Transportation
- Healthcare and Life Sciences
The company operates through 12 global offices and India-based delivery centers, providing scalable offshore delivery, domain expertise, and integrated engineering solutions.