eClerx Services (ECLERX) investor relations material

Executive summary

• Q1 FY26 revenue grew 17.7% year-over-year to INR 9,451 million, with USD revenue up 17.1% YoY and 4.2% QoQ; operating revenue in INR was 9,346 million, up 19.5% YoY.

• EBITDA margin was 24.8%, with EBITDA at INR 2,346 million, up 25.3% YoY but down 6.3% sequentially; EBIT was INR 197.7 crore, up 27.1% YoY.

• PAT reached INR 1,417 million (15% margin), up 26.9% YoY but down 6.9% sequentially; basic EPS was INR 30.2.

• Delivery headcount rose 15% YoY to 20,261 as of June 2025, supporting operational expansion.

• New delivery centers opened in Lima (Q1) and Cairo (Q2 planned); company received industry recognitions and invested in upskilling 8,000 employees in GenAI.

Financial highlights

• Q1 operating revenue was $109.2 million, up 4.2% sequentially and 17.1% YoY; total revenue including other income was INR 9,451 million, up 3.1% sequentially and 17.7% YoY.

• EBIT margin improved, with EBIT up 27.1% YoY; EBITDA conversion to cash was 62.6% for FY25.

• Return on equity stood at 18.9% for Q1 FY26; book value per share was INR 530, and cash & cash equivalents per share were INR 225.

• Capex for Q1 FY26 was INR 161 million; dividend of INR 1 proposed for FY25.

• Deal wins for Q1 totaled $32 million; ACV of new deals (excluding CLX) was $102.1 million.

Outlook and guidance

• Management remains cautiously optimistic, expecting sequential growth in Q2 and full-year ACV to exceed FY25; margin guidance maintained at 24% to 28%.

• No change in revenue growth guidance due to macroeconomic uncertainties, but Q2 is expected to show sequential growth.

• Forward-looking statements highlight risks from integration of acquisitions and regulatory/economic conditions.