eMudhra Limited (NSE: EMUDHRA; BSE: 543533) has reported strong and diversified revenue growth for the quarter ended December 31, 2025, supported by a healthy deal pipeline and strategic expansion into international markets. The company’s focus on enabling enterprise transitions to Zero-Trust architectures continues to underpin its financial and operational performance.
Performance by Business Vertical and Segment Updates
eMudhra’s business model is divided into three primary verticals, which collectively drove a Total Income of Rs. 1,911 million in Q3 FY26, representing a 35.6% year-over-year (YoY) increase:
• Enterprise Solutions: This segment, contributing 57.6% of 9M FY26 revenue, focuses on proprietary software for Certificate Lifecycle Management (CLM), User Authentication (IAM), and Paperless Transformation (emSigner).
• Trust Services: Accounting for 20.0% of 9M FY26 revenue, this includes Digital Signature Certificates (DSC) and SSL/TLS certificates.
• Consulting and Product Integration: This vertical represents 22.4% of 9M FY26 revenue, focusing on enterprise product distribution and integration services in North America.
Key Segment Developments and Strategic Expansion
The company achieved significant milestones in its strategic expansion efforts during the quarter:
• North America: US data centers are now live, enabling local TLS certificate issuance and lifecycle management, which improves latency and regulatory alignment for North American customers.
• Middle East: eMudhra is setting up a UAE data center to comply with updated Trust Service Provider guidelines, already securing its first eSignature workflow rollout for a large bank in Oman.
• Europe: The integration of Cryptas is accelerating market entry, with the company well-positioned to serve demand driven by the NIS2 and DORA regulations.
• India: Increased digitalization has led to significant traction in eSign and eStamping, particularly within the banking and financial services sectors.
Operational Scale and Market Leadership
eMudhra maintains a dominant position as India’s largest and most recognized brand in Trust Services, holding a 38% market share by value. The company has issued over 50 million digital signature certificates since its inception and remains the only Indian company admitted as a member of the European Cloud Signature Consortium. Its operational scale is supported by a team of over 900 employees across 15 global offices.
Robust Capital Strength and Shareholder Value
The company’s financial profile is characterized by robust capital strength and high-quality earnings:
• Profitability: Adjusted EBITDA rose 44.3% YoY to Rs. 493 million, maintaining strong margins of 25.8%.
• Recurring Revenue: Approximately 68% of revenue is recurring, providing high visibility and operating leverage.
• Earnings Per Share (EPS): Diluted EPS for Q3 FY26 stood at INR 3.46, a 36.7% increase YoY.
Future Outlook and Broader Industry Trends
The growth trajectory remains positive, fueled by several global industry trends:
• Regulatory Drivers: Global frameworks such as eIDAS, NIS2, and DORA in Europe, and the DPDP Act in India, are expanding the demand for compliant PKI and identity controls.
• Technology Shifts: The transition to TLS 90-day cycles and the move toward phishing-resistant Multi-Factor Authentication (MFA) are driving adoption of eMudhra’s automated platforms like Certinext.
• Product Innovation: Integration of AI Cyber Forge’s secrets engine and advanced R&D in automated data discovery for compliance further strengthen the company’s competitive moat.
Management Commentary and Growth Context
Management highlighted that while EBITDA and PAT margins were healthy, they were slightly impacted by a partner stock buyback in the Indian trust services business, amounting to Rs. 33.6 million. Excluding such one-time items and ESOP provisioning, the Adjusted Net Profit reached Rs. 334 million (+37.6% YoY). For the full-year context, 9M FY26 Total Income reached Rs. 5,166.3 million, showing 36.5% growth compared to the same period last year.