Quarterly Results Archives - Page 14 of 14

TATAELXSI – Tata Elxsi – Q4 FY26 Financial Results – 21-Apr-26

Tata Elxsi’s FY26 saw flat revenue and ~440 bps margin hit from cost inflation, with ~10% earnings decline in core verticals. Q4 rebound offers hope, but FY27 hinges on sustained topline recovery. Debt‑free, cash‑rich balance sheet limits downside, yet premium valuation demands earnings revival.

1–2 minutes

🔍 Observations

Topline

Revenue from operations grew a modest 0.76% YoY in FY26 (₹3,729 Cr → ₹3,757 Cr), signalling demand-side stagnation despite sequential recovery in Q4.
Q4FY26 revenue of ₹993.75 Cr grew 9.4% YoY and 4.2% QoQ — the strongest sequential print of the year, suggesting early-stage re-acceleration.
Other income remained a meaningful contributor at ₹184 Cr (FY26), reflecting treasury yield on the large cash/deposit base.

Bottomline

Reported PAT collapsed 20% YoY (₹784.94 Cr → ₹628.43 Cr) in FY26, heavily distorted by a ₹95.69 Cr exceptional item in Q3FY26.
Excluding the exceptional, pre-tax profit still declined ~10.4% YoY (₹1,028 Cr → ₹920.8 Cr), indicating genuine margin pressure independent of one-offs.
Q4FY26 PAT of ₹220.35 Cr grew 27.8% YoY and 102% QoQ — a strong recovery print that partially restores confidence.

Margins

EBITDA margin (pre-exceptional, ex-other income) compressed sharply: operating costs grew 4.9% while revenue was nearly flat, squeezing core profitability.
Employee costs as a percentage of revenue climbed to 58.1% in FY26 vs. 54.9% in FY25 — the primary margin headwind and key variable to watch.
Net profit margin contracted to 16.7% in FY26 from 21.1% in FY25 (on operating revenue basis), a ~440 bps deterioration.

Growth Trajectory

FY26 was a consolidation year: near-zero topline growth with double-digit cost inflation — a structurally concerning combination for a premium-valued IT services name.
Q4FY26 trajectory (revenue, PAT both inflecting upward YoY) offers a plausible base for FY27 recovery, contingent on demand visibility improving.
EPS fell from ₹126 to ₹100.89 YoY, eroding the earnings yield that justifies Tata Elxsi’s historically high PE multiples.

HCLTECH – HCL Technologies – Q4 FY26 Financial Results – 21-Apr-26

HCL Tech’s FY26 ends with record revenue but margin compression, rising receivables, and PAT hit by labour code. Fortress balance sheet and capex discipline stand out. FY27 hinges on outsourcing cost and receivables normalization—long‑term risk‑reward is sound, near‑term catalyst is margin inflection.

1–2 minutes

🔍 Observations

Topline

Revenue from operations surged 11.2% YoY to ₹1,30,144 Cr in FY26, with Q4FY26 clocking ₹33,981 Cr — up 12.3% YoY, signalling sustained demand acceleration into year-end.
Sequential Q4 revenue was flat (+0.3% QoQ), suggesting growth is broad-based annual rather than quarter-specific sprint.
Other income fell sharply to ₹1,530 Cr vs ₹2,485 Cr in FY25 (-38.5%), partly offsetting operational momentum at the total income level.

Bottomline

PAT declined 4.3% YoY to ₹16,652 Cr in FY26, weighed by a ₹956 Cr one-time exceptional charge (New Labour Codes) in Q3FY26; stripping this out, underlying profitability holds relatively stable.
Q4FY26 PAT of ₹4,490 Cr grew 4.2% YoY, recovering well from the Q3 dip — a clean, exceptional-free quarter restoring earnings confidence.
EPS (Basic) fell from ₹64.16 to ₹61.46 YoY, reflecting PAT compression despite flat share count.

Margins

EBITDA proxy (PBT + D&A + Finance costs): FY26 ≈ ₹27,282 Cr vs ₹28,009 Cr in FY25 — margin compression of ~60 bps on an expanding revenue base, driven by employee cost (+11.1% YoY) and outsourcing cost (+21.5% YoY) outpacing revenue growth.
Net profit margin contracted to ~12.8% in FY26 from ~14.9% in FY25 — a meaningful step-down reflecting cost structure inflation and lower other income.
Outsourcing costs as a % of revenue rose to 14.2% vs 13.0% in FY25, indicating rising subcontracting intensity.

Growth Trajectory

Revenue CAGR implied by FY25→FY26 at 11.2% is healthy for a large-cap IT player but margin dilution raises the question of whether growth is being bought rather than earned.
Q4FY26 YoY revenue growth of 12.3% — strongest quarterly print — is a promising exit rate, setting a high base for FY27.
Total comprehensive income grew 12.5% YoY to ₹20,361 Cr vs ₹18,104 Cr, outpacing PAT — FX translation gains and OCI items provided a meaningful buffer.

PERSISTENT – Persistent Systems – Q4 FY26 Financial Results – 21-Apr-26

Persistent Systems combines revenue scale, margin expansion, and cash strength. FY27 may inflect on FCF yield, but rising unbilled receivables, current assets, and subcontracting mix signal margin limits. Clean balance sheet and high earnings quality mean valuation hinges on sustaining deal momentum beyond historical growth.

1–2 minutes

🔍 Observations

Topline

Revenue crossed ₹147.5 Bn in FY26, up 23.5% YoY — broad-based acceleration rather than a one-quarter spike.
Q4FY26 revenue of ₹40.6 Bn grew 25.1% YoY and 7.4% QoQ, sustaining double-digit sequential momentum through the year.
Subcontracting costs rose 25.7% YoY, slightly outpacing revenue growth — signals heavier partner/vendor dependency in delivery mix.

Bottomline

PAT for FY26 at ₹18.7 Bn grew 33.2% YoY, meaningfully ahead of topline — operating leverage is real and compounding.
Q4FY26 PAT of ₹5.3 Bn surged 33.7% YoY and 20.4% QoQ; the quarterly exit run-rate signals a strong FY27 base.
Basic EPS expanded from ₹91.22 to ₹119.74 (+31.3% YoY), rewarding shareholders beyond just profit growth.

Margins

EBITDA margin (pre-D&A, pre-finance cost) estimated at ~20.9% for FY26 vs ~19.6% in FY25 — quiet but consistent expansion.
Net profit margin improved to 12.7% in FY26 from 11.7% in FY25 — 100 bps expansion on a ₹147 Bn revenue base is significant.
Employee cost as % of revenue held steady at ~53.9%, while other expenses rose to 12.2% vs 10.5% — worth monitoring.

Growth Trajectory

Revenue CAGR implied over FY25–26 at 23.5%; if the Q4 run-rate sustains, FY27 revenue could approach ₹180–185 Bn organically.
PAT growth (33.2%) outpacing revenue growth (23.5%) for a second successive year confirms structural margin improvement, not cyclical.
Dividend payout increased to ₹40/share vs ₹35/share — confidence in earnings durability, not just a one-off distribution.

HDFCBANK – HDFC Bank – Q4 FY26 Financial Results – 18-Apr-26

HDFC Bank’s merger leverage shows in 16.6% PPOP growth and deposit re‑acceleration. Provisions suppress PAT but fortify FY27 asset quality. With doubled equity, EPS hinges on credit cost normalization, NIM recovery, and loan‑deposit discipline—key catalysts for re‑rating.

1–2 minutes

🔍 Observations

Topline

Net Interest Income (NII) stable QoQ: interest earned ₹87,183 Cr in Q4FY26 vs ₹87,067 Cr in Q3FY26; YoY interest earned grew 0.5% — advance book expansion offsetting yield compression.
FY26 total income ₹4,95,463 Cr vs ₹4,70,916 Cr in FY25 (+5.2% YoY), driven by loan book growth and investment income expansion (₹82,657 Cr vs ₹73,912 Cr, +11.8% YoY).
Other income (non-interest) volatile: Q4FY26 at ₹29,737 Cr vs Q3FY26 ₹39,860 Cr — Q3 inflated by ₹19,869 Cr in “Others,” likely one-time items; underlying fee income more modest.

Bottomline

Consolidated PAT (post minority interest) grew 7.9% YoY in Q4 (₹20,351 Cr vs ₹18,835 Cr) and 7.4% for full year (₹76,026 Cr vs ₹70,792 Cr).
Pre-provision operating profit (PPOP) for FY26 at ₹1,28,798 Cr — up 16.6% YoY — significantly outpacing PAT growth; delta absorbed by a near-doubling of provisions (₹26,656 Cr vs ₹14,175 Cr).
Minority interest rising: ₹3,193 Cr in FY26 vs ₹2,648 Cr in FY25 (+20.6%) — subsidiary earnings drag on attributable PAT will intensify as HDFC Life, HDB Financial scale.

Margins

Operating profit margin (PPOP / Total Income): FY26 at 26.0% vs FY25 at 23.4% — 260 bps structural improvement, reflecting operating leverage kicking in post-merger integration.
Interest expended declined YoY in absolute terms for FY26 (₹1,85,491 Cr vs ₹1,83,894 Cr, +0.9%), while total income grew 5.2% — cost of funds stabilizing, NIM trajectory improving.
Cost efficiency visible: insurance claims/benefits fell YoY (₹92,340 Cr vs ₹94,437 Cr in FY25) despite topline growth in insurance segment.

Growth Trajectory

Advances grew 11.9% YoY (₹30,50,783 Cr vs ₹27,24,938 Cr); deposits up 14.3% (₹30,99,638 Cr vs ₹27,10,898 Cr) — deposit growth ahead of loan growth, improving LDR comfort.
Basic EPS: ₹49.50 for FY26 vs ₹46.41 for FY25 (+6.7% YoY) — share count nearly doubled (₹1,539 Cr paid-up vs ₹765 Cr) due to HDFC merger equity; absolute PAT growth does not fully translate to per-share value.
Provisions surge to ₹26,656 Cr in FY26 from ₹14,175 Cr in FY25 (+88% YoY), including ₹9,000 Cr floating provision — deliberate conservatism that compresses near-term EPS but builds balance sheet resilience.

ICICIBANK – ICICI Bank – Q4 FY26 Financial Results – 18-Apr-26

ICICI Bank’s Q4 shows 9.3% PAT growth, strong loan expansion, and minimal provisioning. Yet widening credit‑deposit gaps and weak cash generation highlight capital consumption. EPS growth (~5–6%) hinges on peaked credit costs and stable NIM; deposit mobilisation and FY27 credit costs remain key exposure triggers.

1–2 minutes

🔍 Observations

Topline

Net Interest Income (NII) expanded modestly — interest earned grew 4.8% YoY in Q4 (₹49,594 Cr vs ₹48,387 Cr), while interest expended fell 4.3% YoY, expanding the spread meaningfully.
Total income for FY2026 reached ₹3,12,118 Cr (+5.9% YoY), driven by loan book growth and stable investment yields.
Other income (non-insurance) grew 5.2% YoY in FY2026 to ₹39,276 Cr — fee income resilience holds.

Bottomline

Q4 PAT surged 9.3% YoY to ₹14,755 Cr and 17.7% QoQ — clean, no exceptional items distorting the print.
FY2026 PAT of ₹54,208 Cr grew 6.2% YoY, with minority interest absorption (₹3,729 Cr) muting consolidated headline growth vs. standalone.
Diluted EPS rose to ₹74.77 for FY2026 vs ₹71.14 — 5.1% growth, modest given the PAT trajectory; equity dilution via ESOPs is a marginal drag.

Margins

Operating profit grew 6.3% YoY in FY2026 (₹82,696 Cr vs ₹77,759 Cr) — operating leverage is present but not dramatic.
Provisions collapsed in Q4 to ₹261 Cr vs ₹2,647 Cr in Q3 — suggests meaningful write-back or asset quality improvement; FY2026 provisions of ₹5,639 Cr up 15% YoY warrants watching.
Effective tax rate held steady ~25% — no deferred tax distortions skewing net margin.

Growth Trajectory

Advances grew 15.8% YoY (₹16,44,658 Cr vs ₹14,20,664 Cr) — loan growth outpacing deposit growth of 11.5%, tightening the CD ratio.
FY2026 PAT CAGR is modest at ~6%, indicating the bank is in a consolidation phase post the hyper-growth cycle.
Insurance premium income grew 9.5% YoY in FY2026 — ICICI Life/General subsidiaries remain steady compounders within the group.

WIPRO – Wipro Ltd – Q4 FY26 Financial Results – 16-Apr-26

Wipro’s FY26 shows 4% revenue growth but flat PAT, with debt elimination offset by working‑capital strain, ECL spike, and higher borrowings. Dividend discipline stretches FCF. FY27 hinges on AI/inorganic spend driving margins—without it, the stock remains a volume play lacking earnings traction.

1–2 minutes

🔍 Observations

Topline

Q4FY26 revenue ₹242,363M — up 7.7% YoY and 2.9% QoQ; full-year FY26 revenue ₹926,240M, up 4.0% YoY.
Sub-contracting & technical fees rose 7.5% YoY in FY26 — signals higher pass-through work and offshore-onsite mix shift.
Other income flat YoY at ~₹38.7–38.8B annually; not a growth driver.

Bottomline

FY26 PAT ₹132,655M vs ₹132,180M in FY25 — effectively flat (+0.4% YoY); Q4FY26 PAT ₹35,216M, down 1.8% YoY.
Revenue grew 4% but PAT barely moved — operating leverage absent; cost structure expanding in tandem with revenue.
EPS Basic ₹12.60 vs ₹12.56 prior year — near-zero earnings growth despite revenue recovery.

Margins

EBITDA proxy (PBT + D&A + Finance Costs): FY26 ~₹217,106M vs FY25 ~₹219,306M — slight EBITDA contraction despite revenue growth.
Employee costs as % of revenue: 60.0% in FY26 vs 59.9% in FY25 — stable but elevated; limited room to expand margins without headcount restructuring.
Net profit margin: 14.3% in FY26 vs 14.8% in FY25 — 50bps compression; operating efficiencies not translating to bottom-line accretion.

Growth Trajectory

FY26 revenue CAGR recovery underway but tepid at 4% — below IT sector peers in a stronger demand environment.
PAT growth near-zero for two consecutive years signals a structural earnings plateau, not cyclical softness.
Q4FY26 sequential improvement (+2.9% QoQ revenue, +11.9% QoQ PAT) offers a constructive exit rate into FY27.

WAAREERTL – Waaree Renewable Technologies – Q4 FY26 Financial Results – 16-Apr-26

WAAREERTL’s FY26 doubled revenue with stable 19.5% EBITDA and no dilution, underscoring high‑quality EPS. Yet cash flow lags: receivables stretch, inventory spikes, FCF declines. FY27 hinges on cash conversion—normalize collections and premium valuation holds; persistently stretched cycles risk debt or dilution.

2–3 minutes

🔍 Observations

Topline

Revenue from Operations grew 108.5% YoY — from ₹1,59,774.79 Lakh in FY25 to ₹3,33,142.22 Lakh in FY26. This is not incremental growth; it is a near-exact doubling of the business in one year.
The growth is almost entirely driven by the EPC Contracts segment, which grew from ₹1,57,236.41 Lakh to ₹3,30,487.06 Lakh — a 110% jump. Power Sale revenue grew modestly from ₹2,538.38 Lakh to ₹2,655.16 Lakh (4.6%), confirming WRTL is overwhelmingly an EPC execution machine, not a power generation business.
Other Income grew 38% from ₹1,480.21 Lakh to ₹2,042.56 Lakh — this is treasury income (interest on bank deposits and investments), which is a byproduct of the large cash balance, not core operations.

Bottomline

PAT (attributable to owners) grew 108.9% — from ₹22,916.09 Lakh to ₹47,869.54 Lakh — almost perfectly mirroring revenue growth. This is a healthy sign; profitability scaled proportionally, not by financial engineering.
Basic EPS grew 108.7% from ₹22.00 to ₹45.91. Share count barely moved (from 10.42 Cr to 10.43 Cr shares), so EPS growth is real and not diluted. This is shareholder-friendly.
Effective tax rate edged up slightly from 23.8% in FY25 to 25.2% in FY26 — a marginal headwind on PAT, but not material.
FY25 PAT was burdened by an exceptional loss of ₹401.88 Lakh. FY26 had no exceptional item, making the FY26 earnings base cleaner.

Margins

EBITDA (PBIT + D&A): FY26 = ₹64,823.41 Lakh, FY25 = ₹31,086.67 Lakh.
EBITDA Margin: FY26 = 19.5%, FY25 = 19.5% — dead flat, to the decimal point.
EBIT (PBEIT) Margin: FY26 = 19.2%, FY25 = 19.1% — effectively unchanged.
PAT Margin: FY26 = 14.37%, FY25 = 14.33% — again, essentially flat.
The single root cause behind this margin stability: Cost of EPC Contracts as a percentage of revenue barely moved — 78.2% in FY26 vs 77.5% in FY25. WRTL is executing at scale without giving up pricing or absorbing disproportionate cost inflation. Economies of scale are neither expanding nor compressing margins — the business appears to operate on standardized, contract-locked margins.
Finance costs fell in absolute terms from ₹1,483.82 Lakh to ₹1,328.83 Lakh, and as a percentage of revenue from 0.93% to 0.40% — a genuine margin tailwind from deleveraging.
Employee costs as a percentage of revenue fell from 1.85% to 1.47% — operating leverage at work.

Growth Trajectory

The growth rate of 108.5% in FY26 is extraordinary but comes off a base that itself grew sharply. The key investor question is: can this be sustained, or is it a one-cycle burst?

The balance sheet and cash flows hold the answer.

TCS – Tata Consultancy Services – Q4 FY26 Financial Results – 9-Apr-26

1–2 minutes

👉 Also see: TCS – Q4 FY26 Earnings Call – 9-Apr-26

🔍 Observations

Q4 Mar-2026 Net Sales reached ₹70,698 Cr, with EBITDA at ₹19,276 Cr and PAT at ₹13,784 Cr — the strongest quarter across all five periods shown.
EBITDA margin held steady at ~27.27% in Q4, broadly in line with the prior three quarters, while annual EBITDA margin improved from 26.40% (FY25) to 27.11% (FY26).
Net Profit Margin for FY26 came in at 18.52%, down from 19.11% in FY25, despite higher absolute PAT.
Exceptional items of ₹4,526 Cr (restructuring, labour codes, legal provisions) weighed on FY26 PBT and PAT. Equity share count remains unchanged at 362 Cr shares.