Noida, May 6 (APAC News): Shares of Coforge rallied sharply in early trade on Wednesday, climbing as much as 9% to Rs 1,260.60 apiece on the National Stock Exchange, after the mid-tier IT services firm reported a robust set of numbers for the March quarter (Q4 FY26).
The company posted a surge in consolidated net profit to Rs 612.3 crore for the January–March quarter of FY26, supported by a one-time tax gain and healthy operational performance.
The coforge reported revenue from operations rose 30% year-on-year (YoY) to Rs 4,450.4 crore in Q4 FY26, compared with Rs 3,422.2 crore in the same period last year.
Order intake for the quarter stood at $648 million, reflecting a 9.3% sequential rise, with the company securing five new deals during the period.
IT firm reported a net profit attributable to owners of Rs 261.2 crore in the corresponding quarter of the previous fiscal year.
“With an executable order book of $1.75 billion, we enter FY27 with strong momentum and confidence. We expect to deliver robust revenue growth in FY27 and target an EBITDA margin of over 20.5% on a consolidated basis,†said Sudhir Singh, CEO, Coforge.
On a sequential (QoQ) basis, profit more than doubled, while revenue increased 5.2% during the quarter under review.
The company reiterated that the impact of Spirit Airlines’ bankruptcy, as reported by ET on Monday, is limited to 10 basis points, or 0.1% of its FY27 revenue.
Region-wise, the Americas its largest market grew 34.6% year-on-year, while Europe, the Middle East and Africa (EMEA) rose 14.3%. The rest of the world segment recorded the strongest growth at 49.9% during the period.
Noida-headquartered company reported operating margins of 16.6% in Q4, a key metric for IT firms, expanding 430 basis points year-on-year.
The margin expansion was driven by multiple tailwinds, including SG&A leverage contributing 100 basis points, favourable currency movement adding 80 basis points, direct cost reductions of 50 basis points, and a further 40 basis points from lower marketing-related expenses.
Disclaimer:Â Views expressed are those of experts and do not reflect APAC Media. This is for informational purposes only, not financial advice. We are not responsible for investment decisions. Please consult a qualified financial advisor before investing.
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