- Coforge's Q1 net profit fell 15.3% to Rs 519 crore due to a one-time loss
- Revenue rose 24.2% to Rs 5,528 crore with EBIT up 38% to Rs 964 crore
- EBIT margin improved to 17% from 16% despite a Rs 55 crore one-time loss
Coforge Ltd. reported a mixed set of June-quarter earnings, with strong revenue and operating profit growth offset by a decline in net profit due to a one-time loss. The IT services company also declared an interim dividend of Rs 4 per share and approved plans to establish a subsidiary in China as part of its global expansion strategy.
On a consolidated basis, net profit fell 15.3% sequentially to Rs 519 crore from Rs 612 crore in the previous quarter. Revenue, however, rose 24.2% to Rs 5,528 crore from Rs 4,450 crore.
Operating performance remained robust. EBIT increased 38% to Rs 964 crore from Rs 696 crore, while the EBIT margin expanded to 17% from 16% in the March quarter. The company said its quarterly earnings were impacted by a one-time loss of Rs 55 crore, which weighed on the bottom line despite healthy operating momentum.
Coforge Q1 Results - Cons, QoQ
- Net profit down 15.3% at Rs 519 crore vs Rs 612 crore
- Revenue up 24.2% at Rs 5,528 crore vs Rs 4,450 crore
- To pay an interim dividend of Rs 4 per share
- EBIT up 38% at Rs 964 crore vs Rs 696 crore
- EBIT margin at 17% vs 16% QoQ
- One-time loss of Rs 55 crore in Q1
Alongside its earnings, the board declared an interim dividend of Rs 4 per equity share with a face value of Rs 2 for FY27. The company has fixed August 3, 2026, as the record date to determine eligible shareholders. The dividend will be paid within 30 days from the date of declaration.
In another key development, Coforge's board gave in-principle approval to set up an entity in China, a move aimed at supporting the company's global expansion strategy and strengthening its presence in the region.
The board also approved the re-appointment of O.P. Bhatt as an Independent Director and Chairperson for a second consecutive five-year term, from May 1, 2027, to April 30, 2032, subject to shareholder approval.
ALSO READ: Coforge Bags Over $230 Million AI Transformation Deal In Europe; Shares Up 2%
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