- Coforge's net profit rose 13.4% QoQ to Rs 588 crore in Q2 FY27
- Revenue increased 11.6% QoQ to Rs 6,171 crore but missed estimates
- EBIT margin expanded to 15.2%, with FY27 guidance raised to 16%
Coforge Ltd. reported a 13.4% quarter-on-quarter increase in consolidated net profit to Rs 588 crore for the September quarter of FY27, while revenue rose 11.6% to Rs 6,171 crore.
Despite the sequential improvement, the IT services company fell short of analyst estimates for profit, revenue and operating earnings.
Net profit came in below the estimated Rs 661 crore, while revenue missed the projected Rs 6,349 crore. Earnings before interest and tax (EBIT) stood at Rs 938 crore against expectations of Rs 1,009 crore.
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However, the EBIT margin expanded to 15.2% from 14.8% in the June quarter, although it remained below the estimated 15.9%.
Coforge's sequential growth comes alongside a stronger order pipeline and an improved outlook for profitability. The company has raised its FY27 EBIT margin guidance and is targeting further expansion in the next financial year.
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Coforge Raises FY27 EBIT Margin Guidance
Chief Executive Officer and Executive Director Sudhir Singh said the company recorded 10.1% sequential growth and 40.1% year-on-year growth in US dollar terms, alongside 3.8% organic constant-currency growth during the quarter.
The company secured an order intake of $1.04 billion in total contract value (TCV), while its executable order book for the next 12 months reached $2.38 billion, up 45% year-on-year.
Coforge also signed eight large deals during the quarter, its highest number in a single quarter.
Citing this momentum, Singh said Coforge had raised its FY27 EBIT margin guidance from 15.5% to 16%. The company expects to increase its EBIT margin to 17% next year, while pursuing growth and a position among the top three scaled IT services companies by margins.
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AI Investments And Business Expansion
Coforge has launched Momentuum Blue, a specialised forward-deployed engineering unit designed to work within client teams and translate business requirements into production systems.
It has also introduced CXNova, an agentic customer experience orchestration platform focused on personalisation and customer engagement.
The company expanded its Kraków engineering centre in Poland as an AI engineering and nearshore delivery hub for European and global clients.
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