Company Overview

Persistent Systems Limited reported strong financial performance for FY 2025-26, demonstrating robust growth across key metrics. The company, listed on BSE (533179) and NSE, specializes in software products, services, and technology innovation, offering complete product life cycle services.

Financial Performance Highlights

FY26 consolidated revenue reached ₹147,484.49 million, representing 23.53% YoY growth from previous year's ₹119,387.17 million. Net profit after tax surged 33.21% to ₹18,651.20 million from ₹14,001.61 million in FY25. Standalone performance was equally strong with revenue of ₹144,279.59 million (23% increase) and net profit of ₹16,348.65 million (33% growth). Basic EPS stood at ₹119.74 (consolidated) and ₹104.96 (standalone).

Dividend Declaration and Capital Structure

The Board recommended a final dividend of ₹18 per equity share, subject to shareholder approval at the 36th AGM on August 3, 2026. This brings the total dividend for FY26 to ₹40 per share (₹22 interim + ₹18 proposed final), representing approximately 33.9% of net profit. Total dividend paid during FY26 amounted to ₹5,816.50 million.

Corporate Actions and AGM Details

The 36th Annual General Meeting will be held on August 3, 2026, at 1600 Hrs IST in hybrid mode. Remote e-voting will be available from July 29 to August 2, 2026. The record date for the final dividend is July 27, 2026. Key corporate developments include the merger of Arrka Infosec Private Limited into Persistent Systems Limited (NCLT approved April 21, 2026) and proposed merger of MediaAgility India Private Limited.

Business Performance and Strategy

The company achieved its 24th consecutive quarter of revenue growth, driven by an AI-led, platform-driven services strategy. Key platforms include SASVA™ 4.0 (Generative AI-enabled engineering), iAURA (enterprise data readiness), and GenAI Hub (agentic AI). The 3C Framework (Core, Context, Coordination) for enterprise AI implementation has shown strong results, with over 120 patents filed in 15 months spanning enterprise AI execution.

ESG and Sustainability Achievements

Persistent maintained carbon neutrality for Scope 1 and 2 emissions for the third consecutive year, achieving a 62.90% reduction in market-based emissions from FY24 baseline. Global renewable energy adoption reached 68.22% (96.54% for India-owned locations). The company achieved Zero Waste to Landfill certification for six India-owned operations, 100% wastewater recycling, and an 11.01% reduction in freshwater consumption. CDP Climate Change rating improved from 'B' to 'A' (top 4% of companies), and the company was included in Dow Jones Best-in-Class World Index.

Workforce Development and Certifications

The company completed 30,000+ internal AI certifications, 24,500+ hyperscaler certifications, and 7,000+ external AI/ML certifications. Employee retention rate stood at 86.99% with an engagement score of 8.3/10 (above industry benchmark). The company maintained multiple international certifications including ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, CMMI Level 5, ISO 22301:2019, SOC 2 Type 2, and ISO 42001:2023 (AI Management).

Compliance and Regulatory Matters

The company disclosed a non-compliance incident regarding delayed AGM for wholly-owned subsidiary Capiot Software Private Limited, which was compounded with the Regional Director, Mumbai. The offense was resolved upon payment of compounding fee with no material impact on financial statements or operations. All related party transactions were conducted on arm's length basis, with no material adverse orders from regulators or courts.

Financial Position and Cash Flow

Cash and cash equivalents increased to ₹7,237.11 million, supported by strong operating cash flow of ₹18,067.18 million. The company maintained a healthy current ratio of 2.43 and return on equity of 26.64%. Total assets stood at ₹98,720.53 million with no debt on books.

Segment and Geographical Performance

Revenue by industry segments: Banking, Financial Services and Insurance (₹50,685.48 million), Healthcare & Life Sciences (₹38,266.79 million), and Technology Companies & Emerging Verticals (₹55,327.32 million). Geographically, North America contributed ₹122,474.02 million (83.0%), India ₹13,042.84 million (8.8%), and Rest of World ₹8,762.73 million (5.9%).

Forward-looking Strategy

The company emphasizes focus on AI-led transformation, with priorities to deepen AI adoption, advance the 3C Foundation, scale client relationships, and convert AI investment into measurable business outcomes while shifting revenue mix towards non-linear, platform-led engagements.