Financial Performance Q2 FY27

Revenue Performance:

  • Q2 FY27 Revenue: ₹13,517 Mn (10.2% QoQ growth, 25.3% YoY growth)
  • H1 FY27 Revenue: ₹25,781 Mn
  • Revenue retention: 119%
  • OTT contribution to overall revenue: 36.2%

Profitability Metrics:

  • Gross Profit: ₹3,531 Mn (8.2% QoQ growth, 23.1% YoY growth)
  • Gross Margin: 26.1% (48bps contraction QoQ and YoY)
  • EBITDA: ₹2,143 Mn (6.6% QoQ growth, 20.8% YoY growth)
  • EBITDA Margin: 15.9%
  • PAT: ₹1,464 Mn (3.0% QoQ growth, 17.1% YoY growth)
  • PAT Margin: 10.8%
  • EPS: ₹11.09 per share
  • Effective Tax Rate: 21.8%

Segment Performance:

Digital Platforms:

  • Revenue: ₹1,047 Mn (1.6% QoQ growth, 6.4% YoY growth)
  • Gross Profit: ₹1,033 Mn (1.7% QoQ growth, 6.5% YoY growth)
  • Gross Margin: 98.6%
  • EBITDA: ₹820 Mn
  • EBITDA Margin: 78.6%

Enterprise Communications:

  • Revenue: ₹12,470 Mn (11.0% QoQ growth, 27.2% YoY growth)
  • Gross Profit: ₹2,498 Mn (11.2% QoQ growth, 31.6% YoY growth)
  • Gross Margin: 20.0%
  • EBITDA: ₹1,323 Mn
  • EBITDA Margin: 10.7%

Cash Flow and Balance Sheet:

  • Free Cash Flow: ₹2,316 Mn (158% of PAT)
  • Cash Generated from Operations: ₹2,593 Mn (121% of EBITDA)
  • Capex: ₹277 Mn
  • Cash and Cash Equivalents: ₹14,474 Mn (including fixed deposits and investments)
  • Debt: Zero
  • DSO: 63 days (improved by 16 days QoQ)
  • ROCE (including CCE): 26.5%

Significant Events

ValueFirst Overseas Acquisition:

  • Completed acquisition of ValueFirst's international operations
  • Contributed ₹285 Mn in revenue for two months of consolidation (2.3% of overall growth)
  • Expanded presence in Middle East and Southeast Asia

Other Corporate Developments:

  • Panel discussion at London Business School on Trust in AI-driven Digital Economy
  • Ranked #8 on Fast Company's Best Workplaces for Innovators 2026 list
  • Received Sustainability Leadership Award at BIG Sustainability Awards 2026
  • Participation in Global Fintech Fest 2026 showcasing AI-powered customer engagement solutions

Dividend Declaration:

  • Board declared interim dividend of ₹6 per share
  • Total payout: ₹796 Mn

Operational Highlights

Customer Cohort Performance:

  • Customers generating revenue above ₹10 Mn: ₹12,997 Mn (10.1% QoQ growth, 24.1% YoY growth)
  • >₹500 Mn cohort: 22 customers, ₹5,826 Mn revenue (10.7% QoQ growth, 42.5% YoY growth)
  • ₹100-₹500 Mn cohort: 80 customers, ₹4,546 Mn revenue (4.8% QoQ growth, 10.8% YoY growth)
  • ₹10-₹100 Mn cohort: 318 customers, ₹2,625 Mn revenue (19.0% QoQ growth, 15.2% YoY growth)
  • Of previous year's top 20 customers, 12 remained in top 20, 8 ranked within top 30

Growth Drivers:

  • WhatsApp volumes doubled both QoQ and YoY across customer segments
  • Revenue from new customer additions: ₹65 Mn in Q2 FY27
  • BFSI customers drove growth in >₹500 Mn cohort

Expense Analysis:

  • Indirect expenses increased by ₹137 Mn QoQ (₹60 Mn attributable to ValueFirst overseas operations)
  • Employee costs increased by 14.5% YoY due to annual increments and net additions
  • Depreciation and amortization: ₹373 Mn (13.6% QoQ growth, 25.9% YoY growth)
  • ₹22 Mn amortization of intangible assets from acquisition
  • ₹18 Mn depreciation on additions to leasehold improvements

Business Updates

Enterprise Business Strategy:

  • Focus on acquiring new customers across domestic and international markets
  • Expanding wallet share within existing customers
  • Increasing adoption of omnichannel solutions
  • RCS pricing changes effective September 2026

Platform Business Challenges:

  • Prolonged delay in regulatory implementation of India's consent framework affected growth
  • Focus on accelerating platform adoption and strengthening commercial execution
  • Wisely.ai deployment at Indosat in Indonesia protecting millions from spam and scams

Wisely.ai Case Study - Banking Implementation:

  • Protected 21 million customers of top-5 private-sector bank
  • Blocked 91 million scam messages in FY26
  • Identified and blocked 3.2 million fraudulent links
  • Flagged 1.2 million scammer numbers and accounts
  • Tracked and neutralized 15 distinct scam patterns
  • Estimated ₹360+ crore annual economic impact from fraud prevention

Financial Position

Balance Sheet Highlights (as of September 30, 2026):

  • Total Assets: ₹41,519 Mn
  • Property, plant and equipment: ₹1,952 Mn
  • Intangible assets: ₹7,199 Mn (including Platforms ₹1,700 Mn, Customer Relationships ₹803 Mn, Goodwill ₹3,552 Mn)
  • Trade receivables: ₹9,243 Mn
  • Total Equity: ₹27,224 Mn
  • Equity share capital: ₹133 Mn
  • Other equity: ₹27,091 Mn
  • Current liabilities: ₹13,590 Mn

Shareholders' Equity Movement (H1 FY27):

  • Opening balance: ₹24,880 Mn
  • Profit for period: ₹2,886 Mn
  • Other comprehensive income: ₹168 Mn
  • Issue of equity shares: ₹56 Mn
  • Employee stock compensation expense: ₹25 Mn
  • Dividend paid: ₹796 Mn
  • Closing balance: ₹27,224 Mn

Guidance and Outlook

Tanla does not provide any guidance.