Birlasoft Q1 Results: Net profit jumps 51% YoY to ₹161 crore; TCV rises 20%

Birlasoft, part of the CKA Birla Group, today reported its unaudited consolidated financial results for the first quarter ended June (Q1 FY27). The company posted revenue of ₹1,379.4 crore, up 2.3% sequentially and 7.4% year-on-year, while EBITDA stood at ₹222.8 crore, translating into an EBITDA margin of 16.1%.

Net profit (PAT) came in at ₹161 crore, a 51.3% YoY jump from ₹106 crore in the same period last year, while sequentially it dropped by 8.5%. In U.S. dollar terms, revenue stood at $145.2 million, down 0.1% QoQ, although it grew 0.3% sequentially in constant currency.

EBITDA stood at ₹222.8 crore, with an EBITDA margin of 16.1%. Among verticals, BFSI grew 5.1% QoQ, while Life Sciences & Services (LSS) rose 2.3% QoQ in dollar terms, offsetting sequential declines in the Manufacturing and Energy & Utilities (E&U) segments.

Within service lines, ERP and infrastructure revenues increased 0.7% and 0.5% QoQ, respectively, while revenue contribution from the top 5, top 10, and top 20 clients improved sequentially.

During the quarter, the company signed deals worth $169 million in total contract value (TCV), up 20% from $141 million a year ago, including a multi-year AI-led transformation programme for a leading European banking group to modernise core applications, migrate to the cloud, and replace legacy platforms.

Angan Guha, Chief Executive Officer and Managing Director, Birlasoft, said, “We have delivered a sequential revenue growth of 2.3% quarter on quarter, reflecting stable performance in the face of a macro-environment that remains challenging. Deal signings during the quarter, at $169 million TCV, are up 20% year-on-year and include several AI-led engagements.

"The fundamentals of our business remain solid, and we continue to invest in our tech capabilities as well as in our sales force that should further strengthen our deals pipeline over the course of the year," he further added.

Attrition rate improves

The company's voluntary attrition rate declined to 11.7% on a trailing 12-month (LTM) basis in Q1 FY27, compared with 13.3% in the corresponding quarter last year, indicating an improvement in employee retention. However, on a sequential basis, attrition inched up from 13%.

The company had a total workforce of 11,057 employees as of June 30, 2026, compared with 11,363 employees at the end of March 2026, reflecting a net reduction of 306 employees during the quarter.

Stock remains under pressure

The company's shares have been struggling to regain momentum, remaining under prolonged selling pressure since September 2024 and losing over 61% of their value during the period.

After a strong rally between March 2023 and September 2024, which took the stock to a record high of ₹861 apiece, the momentum faded, with the stock closing most of the subsequent months in the red.

From its peak, the stock has declined 65%. On a calendar-year basis, it plunged 23% in 2025 and has fallen another 31% so far in 2026. Despite trading at a steep discount to its all-time high, the stock is still up 149% over the last six years.

Disclaimer: We advise investors to check with certified experts before making any investment decisions.