Q1 2026 Persistent Systems Ltd Earnings Call Transcript
Key Points
- Persistent Systems Ltd (BOM:533179) reported a revenue of USD 389.7 million for Q1 FY26, marking a 3.9% quarter-on-quarter and 18.8% year-on-year growth.
- The EBIT margin improved to 15.5%, with a year-on-year growth of 34.8% in absolute terms.
- The company achieved a total contract value of USD 520.8 million for the quarter, with new bookings contributing USD 337 million.
- Persistent Systems Ltd (BOM:533179) saw significant growth in its top customer segments, with the top 5 customers' revenue growing by 22.8% year-on-year.
- The company is making strides in AI, launching SASVA 3.0, which enhances engineering productivity and modernizes tech stacks, demonstrating its commitment to innovation.
- The healthcare life sciences vertical experienced a 2.1% quarter-on-quarter decline due to planned transitions from onsite to offshore.
- There were delayed ramp-ups in some accounts, impacting margins by 100 basis points.
- The EBIT margin saw a net decrease of 10 basis points sequentially due to various headwinds, including unfavorable currency movements.
- The company decided to postpone its annual wage hike by a quarter due to uncertain business scenarios.
- Attrition rates increased to 13.9% from 11.9% in the previous year, indicating potential challenges in employee retention.
Ladies and gentlemen, good day and welcome to Persistent Systems earning conference call for the first quarter of FY26 ended June 30, 2025.
We have with us on the call today, Dr. Anand Deshpande, Chairman and Managing Director; Mr. Sandeep Kalra, Executive Director and Chief Executive Officer; Mr. Vinit Teredesai, Executive Director and Chief Financial Officer; and Mr. Saurabh Dwivedi, Vice President, Finance and Strategy.
(Operator Instructions)
Please note this confidence is being recorded.
I now hand over the confidence to Mr. Saurabh Dwivedi. Thank you and over to you, sir.
Thank you, Vandit, and a very good day, good afternoon, and good evening to everyone on this call.
Let me quickly outline the agenda for today's call. Sandeep will begin with an overview of our results and commentary on business, Vinit will take you through the financial details and key operational metrics for this quarter, I will then provide an
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
