Hinduja Global Solutions (HGS) Q4 25/26 earnings summary

Executive summary

• FY26 revenue from operations was INR 4,307.4 crore, down 2.2% YoY; EBITDA was INR 648.6 crore, down 20.1%, at a 13.4% margin.

• Continuing operations recorded a net loss of INR 143.08 crore; reported net profit was INR 4.94 crore, including INR 148.02 crore from discontinued operations.

• FY26 focused on portfolio rebalancing, cost rationalization and an integrated Intelligent Experience strategy; management cited 79 record new wins and potential for a stronger FY27.

Financial highlights

• Q4 revenue from operations was INR 1,084.7 crore, down 6.6% YoY and up 0.9% QoQ; total income was INR 1,254.6 crore.

• Q4 EBITDA was INR 197.1 crore, up 47.4% QoQ, with a 15.7% margin versus 11.2% in Q3 and 21.5% in Q4 FY25.

• Q4 reported net loss was INR 13.58 crore, versus profit of INR 34.4 crore in Q3 and loss of INR 1.7 crore in Q4 FY25.

• Standalone FY26 revenue was INR 1,827.12 crore and net loss INR 160.58 crore; basic EPS was negative INR 34.52.

Outlook and guidance

• Management expects steady improvement in growth and margins, while remaining cautious amid macro uncertainty and near-term client caution.

• Record 79 FY26 wins and a strong pipeline support FY27 revenue visibility; sales opportunities are increasingly moving from PoCs to 90-day PoVs.

• AI and digital contributions are expected to grow as signings ramp and AI assistants enter production; Agent X had 21 AI assistants in production.

• FY26 cost actions are expected to flow through during H1 FY27; negative EPS is expected to improve as AI delivery and broadband investments mature, with no quantified timeline.