Birlasoft Ltd

Birlasoft Q1 Update: $141M New Deals, Revenue Dip, & Future Focus 🚀

- Q1 FY26 revenue: $150.7M (1% sequential decline in USD terms)

- 3/4 verticals grew sequentially (BFSI, Life Sciences & Services, Energy & Utilities); Manufacturing down 4%

- EBITDA margin at 12.4%, impacted by lack of one-time Q4 benefits

- $141M Total Contract Value (TCV) in Q1 deals, >50% from new clients

- Notable GenAI wins, including US energy sector partnership for Agentic AI

- Cash & equivalents: $266.6M (+16% YoY, +2.8% QoQ)

- DSO increased to 58 days (would be 53 with timely collections)

- Effective Tax Rate (ETR) rose to 35.9% but expected to normalize to 25-26% post-FY26

- Q2 sequential revenue growth expected; full-year outlook cautious due to macro risks

- Strategic priorities: Order book strength, cost optimization, Digital & Data investments

- Organic growth focus; no near-term acquisition plans

- CFO transition: Kamini Shah succeeded by Chandrasekar Thyagarajan (effective Aug 8, 2025)