Alldigi Tech Q2 FY26 Profit Rises 45% YoY; Revenue Up 12%, EBITDA Gains 17%

Chennai, October 31, 2025: Alldigi Tech Limited (BSE: 532633, NSE: ALLDIGI), formerly known as Alsec Technologies Limited, had a good quarter ending September 2025. The company’s revenue grew 12% YoY, while EBITDA rose 17%. Net profit surged 45% YoY, reflecting robust growth across its Tech & Digital (T&D) and Business Process Management (BPM) segments. Following the results announcement, the company’s shares were trading at ₹903, up 2.81% in Friday’s early session.

Founded in 1998 and headquartered in Chennai, Alldigi Tech Limited is a leading provider of payroll, Tech & Digital, and BPM solutions. The company employs around 6,500 professionals across India, the Philippines, and the US, processing over 4 million payslips each quarter for more than 600 global clients. Its SmartHR and SmartPay platforms integrate advanced technologies like Robotic Process Automation (RPA), Smart Analytics, Chatbots, and Mobility solutions to drive enhanced employee engagement and operational efficiency.

Revenue at ₹147.4 Crore, Up 12.2% YoY on Broad-Based Growth

In Q2 FY26, total revenue from operations was ₹147.4 crore, up 2.4% QoQ and up 12.2% YoY. EBITDA was ₹36 crore versus ₹36.6 crore last quarter and ₹30.8 crore last year. EBITDA was down 1.4% QoQ, but was up 16.9% YoY.

EBITDA margin stood at 24.4%, slightly lower than 25.4% in Q1 FY26 but higher than 23.4% in Q2 FY25. Net profit (PAT) rose to ₹17.6 crore, marking an 18.1% QoQ and 45.5% YoY growth. PAT margin improved to 11.9%, compared to 10.4% in the previous quarter and 9.2% in the same period last year.

Operating cash flow improved to ₹33.4 crore, an increase of 66.2% sequentially and 41.5% YoY, signaling good operational efficiency. Total revenue for H1 FY26 was ₹291.3 crore, up 11.7% over H1 FY25. EBITDA was ₹72.6 crore, an increase of 17.1% YoY, with an EBITDA margin of 24.9%.

Segment Performance

BPM Revenue Grows 11.1% YoY While Domestic Sales Stay Flat

The Business Process Management (BPM) segment generated revenue of ₹110.5 crore in the quarter, representing an 11.1% increase YoY and a growth of 2.7% sequentially. Revenue from international operations grew by 16.1% YoY to ₹82.4 crore, while revenue from the domestic market dropped insignificantly by 1.4% YoY to ₹28.1 crore and grew a strong 15.6% on a subsequent basis. Segment margin remained consistent at ₹12.8 crore on a full-time employee (FTE) basis of 5,213.

BPM revenue in H1 FY26 was ₹218.1 crore, an increase of 10% YoY. Revenue from international operations was ₹165.7 crore, up 16.9% YoY, while revenue from the domestic market was ₹52.4 crore, down 7.3% YoY. Segment margin up 1.5% to ₹27.7 crore YoY.

Tech & Digital Revenue Up 15.3% YoY; Segment Margin Surges 35%

The Tech & Digital segment reported revenue of ₹36.9 crore for Q2 FY26, growing 15.3% YoY and 1.7% sequentially. Segment margin rose significantly by 34.9% YoY to ₹14.7 crore. The segment’s FTE count stood at 703, and the company processed 47.6 lakh employee records during the quarter, up 9.9% year-on-year. For H1 FY26, T&D revenue stood at ₹73.2 crore, reflecting a 16.9% annual growth, while segment margin increased by 40.6% YoY to ₹30.5 crore.

Management Commentary

Chief Executive Officer Naozer Dalal said, “We are happy to report yet another stellar quarter with revenue growth of 12% and EBITDA growth of 17% YoY. Our payslips processed have reached 47.6 lakh this quarter, up 10% YoY. We have successfully transitioned all India customers to our new SP4 platform, positioning us well for future growth.”

Industry Recognition

Alldigi Tech was recognized by Everest Group’s PEAK Matrix® Assessment 2025 as:

• Star Performer in the Major Contender category for Multi-Country Payroll (MCP) Solutions
• Major Contender for Customer Lifecycle Management (CXM) in APAC & US markets

Share Price Update

As of 9:19 AM, the share price of Alldigi Tech Limited was trading at ₹903, a 2.81% gain from the previous close. Shares of Alldigi Tech Ltd opened at ₹899.95 and touched an intraday high of ₹914.00, while the low remained unchanged at ₹899.95 during the session. The company’s market capitalisation stood at approximately ₹1,330 crore.

The stock is trading at a price-to-earnings (P/E) ratio of 20.77, with a dividend yield of 4.98%. Over the past 52 weeks, the shares have ranged between a high of ₹1,114.40 and a low of ₹822.00. The company’s quarterly dividend payout amounts to ₹11.24 per share.

REF: https://nsearchives.nseindia.com/corporate/ALLSEC_30102025211704_Pressrelease.pdf

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