Sagility rallies after strong Q2 FY26 earnings

Sagility surged 11.53% to Rs 56.78 after the company reported a robust set of financial results for the September 2025 quarter.

The company?s consolidated revenue stood at Rs 1,658.5 crore in Q2 FY26, marking a 25.2% year-on-year increase from Rs 1,325 crore in Q2 FY25 and a 7.8% sequential rise from Rs 1,538.9 crore in Q1 FY26. In constant currency terms, revenue grew 20% YoY, while organic growth came in at 16% YoY (11.1% in constant currency).

The company?s adjusted profit after tax (PAT) surged 84% YoY and 50.7% sequentially to Rs 301 crore, with adjusted PAT margin expanding to 18.1% in Q2 FY26 from 13% in Q1 FY26 and 12.3% in Q2 FY25. Reported PAT rose 113.8% YoY and 68.8% QoQ to Rs 250.8 crore.

Adjusted EBITDA grew 25.6% year-on-year and 18% sequentially to Rs 435.2 crore, with margins improving to 26.2% in Q2 FY26 from 24% in Q1 FY26 and 26.1% in Q2 FY25. Reported EBITDA climbed 49.6% YoY and 33% QoQ to Rs 473.3 crore.

Profit before tax (PBT) more than doubled to Rs 326.8 crore in Q2 FY26, up 103.7% YoY and 55.3% higher QoQ.

Sagility?s employee benefits expense stood at Rs 1,007 crore in Q2 FY26, up 27.3% year-on-year from Rs 791.2 crore in Q2 FY25. Other expenses rose 15.4% YoY to Rs 216.3 crore from Rs 187.4 crore. Finance costs declined 15.8% to Rs 25 crore from Rs 29.7 crore in Q2 FY25, while depreciation and amortisation expenses fell 3.8% YoY to Rs 121.5 crore from Rs 126.4 crore in Q2 FY25. The company also recorded a forex gain of Rs 51.6 crore during the quarter, compared with a loss of Rs 24.1 crore in the same period last year.

As of 30 September 2025, Sagility employed 44,185 people and operated 34 delivery centers across five countries.

Ramesh Gopalan, managing director and Group CEO said, Our performance through the first half of FY26 underscores Sagility?s ability to sustain a healthy growth in a changing marketplace. As our clients continue to deal with profitability pressures, we are bringing our domain expertise and transformational capabilities to help them reduce cost of operations. Our deals are evolving beyond traditional service delivery models to more complex constructs with greater emphasis on outcomes and commitment to measurable cost take-outs. AI enabled automation, along with process transformation enable us to deliver these outcomes. With healthy momentum in our core operations, growing traction from cross-selling to BroadPath clients, and disciplined execution, we are confident of continuing this momentum into the second half of FY26.

Sagility is a global provider of technology-enabled business solutions and services to clients in the U.S healthcare Industry.

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