The digital security provider saw a significant rise in international product-led revenue, balancing reduced growth in its US services segment. Regulatory shifts in Europe and the Middle East continue to drive adoption of its identity and authentication platforms.
eMudhra Limited (BSE: 543533, NSE: EMUDHRA) announced its unaudited consolidated financial results for the quarter ended December 31, 2025. The company reported revenue from operations of INR 1,910.6 million, representing a 35.6% year-over-year increase compared to Q3 FY25. Net income (PAT) for the quarter reached INR 290.0 million, a 29.5% increase over the same period last year. This growth was primarily driven by a diversified revenue base and increased product-led revenue in international markets.
Company Profile and Business Model
eMudhra is a global trust service provider and the largest certifying authority in India, managing over 50 million digital identities. The business model focuses on secure digital transformation through identity, authentication, and digital signature solutions. Enterprise revenue is split between Cyber Security (70%) and Paperless (30%) segments. Geographically, 63% of enterprise revenue is derived from international markets, while 37% comes from India. The company utilizes both direct (60%) and partner-led (40%) sales channels.
Latest Quarterly Results and Highlights
EBITDA for Q3 FY26 was INR 441.4 million, reflecting a 38.2% year-over-year growth. The EBITDA margin stood at 23.1%, compared to 22.7% in Q3 FY25. Operating expenses for the quarter were INR 891.9 million, resulting in a gross profit of INR 1,018.7 million and a gross margin of 53.3%. Diluted earnings per share (EPS) rose to INR 3.46, a 36.7% increase from the previous year. Key project wins included Certificate Lifecycle Management (CLM) contracts in the USA, Europe (DACH region), and the Indian defense sector.
Full Year Context and Growth Trends
For the nine months ended December 31, 2025 (9M FY26), revenue reached INR 5,166.3 million, up 36.5% from 9M FY25. This nearly matches the total revenue of INR 5,278.4 million reported for the entire 2025 fiscal year. 9M FY26 PAT was INR 804.7 million, representing a 28.0% increase over the prior year’s nine-month period.
Strategic Progress and Analysis
The company integrated the Cryptas product, which is expected to accelerate European market entry. eMudhra also took its US data centers live to enable local TLS certificate issuance, improving latency for North American customers. Additionally, AI Cyber Forge Inc was amalgamated with eMudhra Inc to provide a unified platform positioning for CLM and Identity and Access Management (IAM).
Regulatory Milestones and Segment Updates
Compliance with European regulations such as NIS2 and DORA is driving demand for cryptographic controls. In India, digitalization in the Banking and Financial Services (BFSI) sector has increased transaction volumes for eSign and eStamping. Advanced R&D efforts are currently focused on Post-Quantum Cryptography (PQC) and data discovery for privacy compliance.
Market Situation and Management Commentary
Executive Chairman V. Srinivasan noted that while the US services business is experiencing reduced growth and margins, this is being offset by improved performance in Europe and increased product sales in Middle East and Africa (MEA) and APAC regions. Cross-sell deals from the Cryptas acquisition are expected to close within the next one to two quarters.
Guidance and Future Outlook
The company is establishing a UAE data center to comply with updated local trust service provider guidelines. eMudhra intends to continue scaling its digital public infrastructure (DPI) stack, which covers digital IDs, wallets, and ePassports, for large-scale government deployments.
Where Does eMudhra Limited Today?
Today, eMudhra operates in over 15 countries with approximately 850 employees. It serves over 1,100 enterprises and Fortune 100 clients across more than 50 countries. The organization maintains board-level membership in the Cloud Signature Consortium and is a principal member of the CA/Browser Forum.