Key Takeaway:
- FY26 revenue hit $1.87 billion, driven by a record $1.75 billion executable order book.
- Net profit skyrocketed over eighty-two percent to reach $177.4 million.
- Operating margins (EBIT) expanded by 370 basis points to 14.4% due to AI-led cost efficiencies.
Coforge Q4 reports 29.2% year-over-year revenue growth for FY26, with EBIT margin rising 370 basis points to 14.4%, driven by AI-led efficiencies and strong deal wins.
The IT services firm said profit after tax climbed 82.1% year over year to $177.4 million, while revenue reached $1.87 billion, reflecting sustained demand and operational improvements.
Strong Financial Performance Driven By AI Efficiencies
Coforge posted revenue of 164,207 million rupees for FY26, up 35.9% from a year earlier in rupee terms. EBITDA rose 68.2% in dollar terms to $347 million, with margins expanding by 431 basis points.
EBIT increased 73.7% to $269.6 million, supported by cost optimization and productivity gains. The company attributed margin expansion to AI-led efficiencies embedded across delivery operations.
“FY26 marked another year of exceptional performance for Coforge,” said Sudhir Singh, CEO and executive director. “We delivered strong YoY growth at 29.2% and expanded EBIT margins materially by 370 bps to 14.4%.”
Q4 Growth Supported By Deal Wins And Margin Gains
For the fourth quarter ended March 31, Coforge Q4 reports revenue of $489.1 million, up 21.2% year over year in dollar terms. Quarterly revenue rose 1.7% sequentially.
EBITDA for the quarter stood at $100.8 million, with margins improving to 20.6%, up 232 basis points sequentially. EBIT rose 75.6% year over year to $81 million, while profit after tax surged 144.8% sequentially to $67.3 million.
The company recorded order intake of $648 million during the quarter and signed five large deals. Its executable order book for the next 12 months reached $1.75 billion, up 16.4% from a year earlier.
Headcount increased to 35,777, with a net addition of 436 employees during the quarter. Attrition remained stable at 10.8% over the last 12 months.
Outlook Signals Continued Growth And Margin Expansion
Coforge Q4 reports said it expects strong revenue growth in FY27, supported by its deal pipeline and execution capabilities. The company aims to achieve EBITDA margins above 20.5% on a consolidated basis.
“With an order executable of $1.75 billion, we enter FY27 with strong momentum and confidence,” Singh said. “We expect to deliver robust revenue growth in FY27.”
The company also highlighted industry recognition and partnerships, including attaining Premier Tier Services Partner status in the Amazon Web Services network and winning a ServiceNow partner award for domain expertise in CRM.
Analysts say Coforge’s focus on AI-native engineering and vertical specialization positions it to benefit from enterprise demand for automation and digital transformation.
Coforge cautioned that forward-looking statements are subject to risks, including potential delays in strategy execution and integration challenges, which could affect actual results.
Visit Business Viewpoint Magazine for the latest information.
