eClerx Q1 FY26 Net Profit Rises 26.9% YoY to ₹141.7 Crore; Revenue Up 17.7%

Mumbai, July 25, 2025- eClerx Services Ltd (NSE: ECLERX, BSE: 532927) reported robust performance for the first quarter of FY26, with a consolidated net profit of ₹141.7 crore, marking a 26.9% year-on-year (YoY) increase. Total revenue surged 17.7% YoY to ₹945.1 crore, driven by continued expansion across strategic clients and industry verticals.

Q1 FY26 Key Financial Highlights (Consolidated)

• Operating revenue rose by 4.0% QoQ to ₹934.6 crore, up from ₹898.3 crore. On a YoY basis, it increased by 19.5% from ₹781.9 crore.
• Total revenue stood at ₹945.1 crore, growing 3.1% QoQ and 17.7% YoY from ₹802.8 crore.
• EBITDA came in at ₹234.6 crore, down 6.3% QoQ, but up 25.3% YoY from ₹187.3 crore.
• EBIT declined 5.6% QoQ to ₹197.7 crore, but saw a 27.1% YoY increase from ₹155.6 crore.
• Net profit stood at ₹141.7 crore, showing a 6.9% drop QoQ, but a strong 26.9% YoY growth over ₹111.6 crore.
• EBITDA margin contracted by 250 basis points QoQ to 24.8%, but improved 151 basis points YoY from 23.0%.
• Net profit margin declined 161 basis points QoQ to 15.0%, but rose 109 basis points YoY from 14.1%.
• Basic EPS came in at ₹30.2, down 5.0% QoQ, but up 30.7% YoY from ₹23.1.

*Includes other income; figures rounded to one decimal.

Dividend: The company has proposed a final dividend of ₹1 per share for FY25.

Segment & Business Highlights

• Industry Mix (Q1 FY26):
  • BFSI: 43.2%
  • CMT: 25.4%
  • HiTech & Mfg: 16.5%
  • Fashion, Luxury & Retail: 9.0%
  • Emerging: 5.9%
  • North America: 79%
  • Europe: 15%
  • Rest of World: 6%
• Client Concentration: Top 10 clients contributed 63% of total revenues.
• Deal Activity: Annual Contract Value (ACV) from new deals stood at $33.2 million, a 19.1% YoY increase.

Operational Metrics

• Total headcount increased by 5.1% quarter-on-quarter, rising from 19,389 in Q4 FY25 to 20,385 in Q1 FY26.
• Offshore seat count grew by 5.4%, reaching 14,731 compared to 13,976 in the previous quarter.
• Staff utilisation for delivery roles slightly dipped to 72.8%, down 0.4% from 73.2%.
• Voluntary attrition in offshore teams saw a significant improvement, dropping to 17.6% from 24.3%, a reduction of 670 basis points.
• Women Employees in the workforce rose by 50 basis points, moving up to 39.3% from 38.8% in the prior quarter.
• The delivery headcount increased by 15% YoY to 20,261 as of June 2025, reflecting robust hiring to support growing client engagements.

Management Commentary

While no direct quotes were provided, the company emphasized strong YoY growth in constant currency (16.4%) and acknowledged the impact of wage increments effective April 1, 2025. Despite a sequential dip in margins, the company highlighted continued investment in capabilities and talent expansion.

Hedge & Forex Overview

eClerx maintained $247.8 million in outstanding forward hedges at an average rate of ₹87.18/USD, fully hedged under 100% forwards. The INR appreciated slightly against USD and other major currencies during the quarter, impacting revaluation gains.

Strategic Outlook

The company continues to deepen its penetration across top-tier strategic accounts, while strengthening its presence in emerging segments. Growth was led by robust deal wins and improved offshore capacity, supported by rising demand in North America and the BFSI sector.

eClerx Services Stock Performance

eClerx Services shares are trading at ₹3,740, which is a 2.22% gain on July 25, 2025. eClerx Services shares have gained 56% in the last year, 7.88% in the year-to-date, and 6.57% in the previous month.

eClerx Services Ltd opened at ₹3,738.70 today. The stock touched a high of ₹3,920.90 and a low of ₹3,674.00 during the session. The company’s market capitalisation is ₹17,580 crore. The stock has hit its 52-week high of ₹3,920.90 today, while the 52-week low stands at ₹2,168.00

About eClerx Services

eClerx Services Ltd, listed on NSE and BSE, is a global provider of business process management, analytics, and automation solutions. Founded in 2000, the company serves several Fortune 2000 clients across financial services, retail, communications, and technology sectors. It employs over 20,000 professionals across 15+ countries.

REF:https://nsearchives.nseindia.com/corporate/ECLERX_24072025194250_BSENSEPR240725signed.pdf

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