Onward Technologies Limited Reports 11.5% Year-over-Year Revenue Growth for Q1 FY27
Onward Technologies Limited has announced its unaudited standalone and consolidated financial results for the first quarter of fiscal year 2027, ending June 30, 2026. The company reported a total revenue of ₹151.2 crore, representing an 11.5% year-over-year growth and an 8.7% sequential growth compared to the fourth quarter of fiscal year 2026.The company achieved an EBITDA of ₹18.4 crore for the quarter, which reflects a 20% sequential growth over the previous period. The reported EBITDA margin for Q1 FY27 stands at 12.3%.
Financial Performance Highlights (Q1 FY27)
| Particulars (₹ cr) | Q1FY27 | Q1FY26 | Y-o-Y | Q4FY26 | Q-o-Q |
|---|---|---|---|---|---|
| Revenue from Operations | 149.4 | 133.2 | 12.2% | 137.1 | 9.0% |
| Other Income | 1.7 | 2.5 | (29.9%) | 1.9 | (10.1%) |
| Total Revenue | 151.2 | 135.6 | 11.5% | 139.0 | 8.7% |
| Employee Benefits Expenses | 109.3 | 98.1 | 11.3% | 102.0 | 7.1% |
| Other Expenses | 21.8 | 17.9 | 21.9% | 19.8 | 10.2% |
| Total Expenses | 131.1 | 116.0 | 13.0% | 121.8 | 7.6% |
| EBITDA | 18.4 | 17.1 | 7.2% | 15.3 | 20.0% |
| EBITDA Margin (%) | 12.3% | 12.9% | (60 bps) | 11.2% | 113 bps |
| Depreciation & Amortisation | 4.6 | 3.2 | 45.8% | 4.4 | 6.3% |
| Finance Costs | 0.7 | 0.5 | 35.8% | 0.7 | (4.4%) |
| Profit Before Tax | 14.8 | 15.9 | (7.2%) | 12.1 | 21.6% |
| Income Tax | 3.6 | 3.2 | 13.1% | 2.6 | 38.7% |
| Profit After Tax (PAT) | 11.2 | 12.7 | (12.3%) | 9.5 | 16.9% |
| Other Comprehensive Income | (0.7) | (0.8) | (10.9%) | 4.1 | (118.3%) |
| Total Comprehensive Income | 10.4 | 11.9 | (12.4%) | 13.6 | (23.6%) |
| PAT Margin (%) | 7.5% | 9.6% | (210bps) | 6.9% | 52bps |
| Diluted EPS (₹) | 4.98 | 5.57 | (10.6%) | 4.23 | 17.8% |
| DSO (Days) | 75 | 71 | 4 days | 75 | - |
Strategic Wins and Operational Growth
During the first quarter of fiscal year 2027, Onward Technologies Limited secured a ₹33 crore contract to establish a dedicated offshore development center (ODC) for a global power management company. This win highlights the continued expansion of the company's strategic accounts and its digital engineering capabilities.Management noted that the company is focusing on profitable growth and improving delivery efficiency while deepening client relationships. The firm continues to target double-digit revenue and EBITDA growth for fiscal year 2027.
The company has shifted its focus toward high-margin Digital Engineering, with approximately 71% of deliveries being offshore and 88% of contracts being on a time and material basis. This transition is part of a broader strategy to increase wallet share from high-value clients. Currently, the top 25 clients contribute approximately 87% of the total revenue.
Fiscal Year 2026 Performance Summary
Onward Technologies Limited reported a strong financial position for fiscal year 2026, characterized by a revenue of ₹550.9 crore, which was a 10.5% increase over the previous year. EBITDA grew by 60.9%, with margins expanding to 13.2%. The company remains net debt free, maintaining ₹127.3 crore in net cash as of fiscal year 2026.Consolidated Financials FY26
| Particulars | FY26 | FY25 | FY24 |
|---|---|---|---|
| Revenue from Operations | 543.9 | 491.3 | 472.4 |
| Other Income | 7.0 | 7.2 | 7.3 |
| Total Revenue | 550.9 | 498.5 | 479.7 |
| Employee Benefits Expenses | 395.8 | 380.1 | 357.7 |
| Other Expenses | 76.2 | 66.5 | 62.5 |
| Total Expenses | 472.0 | 446.6 | 420.2 |
| EBITDA | 71.9 | 44.7 | 52.2 |
| EBITDA Margin (%) | 13.2% | 9.1% | 11.1% |
| Profit Before Tax | 57.0 | 36.3 | 45.2 |
| Profit After Tax (PAT) | 44.3 | 27.1 | 33.9 |
| Diluted EPS (₹) | 19.52 | 11.81 | 14.81 |
ONWARDTEC Stock Price Movement
Onward Technologies Limited shares surged by 5.87% to ₹300.25 as of 2:15 PM today. The stock is seeing active interest with a trading volume of 2.19 million shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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