Executive Summary
Firstsource Solutions Ltd reported Q3FY26 revenues of ₹2,443 crore, up 16.22% YoY, but consolidated net profit declined 25% to ₹120 crore due to new Labour Codes exceptional items. Revenue growth from BPM services in BFSI and healthcare offset one-time regulatory costs impacting profitability.
Revenue & Growth
Revenues expanded to ₹2,443 crore from ₹2,102 crore YoY, driven by 16.2% growth across Banking, Healthcare, and Communications verticals. Total expenses rose 14.99% YoY to ₹2,194 crore, moderated by operational leverage despite inflationary pressures.
Profitability & Margins
Consolidated net profit fell 25% YoY to ₹120 crore from ₹160 crore; adjusted PAT reached ₹202 crore (up 26.1% YoY) excluding ₹100 crore Labour Codes impact. Basic EPS declined 25.11% to ₹1.70 from ₹2.27; adjusted EPS at ₹2.87.
Balance-Sheet Highlights
The dataset lacks detailed balance sheet items such as assets, liabilities, equity, net debt, or current ratio for Q3FY26.
Cash Flow / Liquidity
Free cash flow to adjusted PAT conversion at 164%, demonstrating strong cash generation despite reported profit dip from exceptional items.
Key Ratios / Metrics
EBIT grew 24.9% YoY to ₹292 crore at 11.9% margins (up 80 bps); 9M revenues up 19.8% to ₹6,973 crore. Digital-first strategy and AI-driven BPM services position for sustained growth across global client base.
