Coforge plunges as chairman O P Bhatt resigns with immediate effect

Coforge tumbled 6.91% to Rs 1814.50 after the company announced that its non-executive independent director and chairman, O. P. Bhatt, resigned from the Board with immediate effect on 9 September 2026.

Following his resgination, the Board also decided to designate Vivek Sharma, non-executive independent director, as interim chairperson of the company till January 31, 2027.

The resignation followed an internal audit review conducted as part of the Q2 FY26 internal audit plan, which examined the process followed for the Board Evaluation Exercise conducted in March/April 2026 and the resulting Board Evaluation Report (BER) presented to the Board under the chairman's guidance.

The review identified concerns regarding the manner in which the BER was dealt with and presented to the Board, including the non-disclosure of certain material information relating to the BER and the chairman's performance.

The board subsequently raised its concerns with Bhatt and sought his explanation. While the chairman stated that he had acted in good faith, he tendered his resignation while the Board was still considering and evaluating his response.

The company clarified that the matters relate solely to the regulatory Board Evaluation Exercise and have no connection with the company's financial statements, financial reporting or other financial matters. The company also said the matter has no bearing on its operations, business performance or near-, medium- and long-term guidance.

Separately, the company announced that its Board will meet on 23 October 2026 to consider and approve the unaudited consolidated and standalone financial results for the quarter and half year ended 30 September 2026

Coforge is an AI-focused engineering services company that combines AI capabilities with industry expertise to develop enterprise solutions. The company integrates AI agents with its delivery teams to improve operational efficiency and focuses on secure, governed AI deployments.

On a consolidated basis, the company's net profit rose 63.4% YoY to Rs 518.60 crore, while it declined 15.3% sequentially. Gross revenue increased 49.2% YoY and 24.2% QoQ to Rs 5,527.70 crore in the June 2026 quarter. In US dollar terms, revenue stood at $592.2 million, up 33.3% YoY and 21.1% QoQ.

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