Nucleus Software Exports (531209) Q2 25/26 earnings summary

Executive summary

• Consolidated revenue for the quarter was INR 213.51 crore, up from INR 202.20 crore year-on-year but down from INR 217.72 crore quarter-on-quarter.

• Net profit for the quarter was INR 26.29 crore, a decrease from INR 35.20 crore in the previous quarter and INR 33.06 crore year-on-year.

• Audited standalone and unaudited consolidated financial results for the quarter and half year ended September 30, 2025, were approved and released following board and audit committee review.

• Statutory auditors issued unmodified opinions on both standalone and consolidated results, confirming compliance with Indian Accounting Standards.

• One new client was added in the quarter, with two new clients added in the half-year.

Financial highlights

• Revenue in foreign currency for the quarter was $24.47 million, up from $24.12 million year-on-year but down from $25.46 million quarter-on-quarter.

• EBITDA for the quarter was INR 23.09 crore, down from INR 33.74 crore quarter-on-quarter and INR 31.52 crore year-on-year.

• Total cash and cash equivalents as of September 30 were INR 961.66 crore.

• Cost of delivery rose to 73.9% of revenue, up from 70.1% quarter-on-quarter and 71.4% year-on-year.

• Marketing and sales expenses increased to 7.3% of revenue, up from 6% quarter-on-quarter and 4.5% year-on-year.

Outlook and guidance

• Management expects growth in coming quarters, driven by customer upgrades and new client acquisitions, though conversion cycles remain slow due to regulatory and governance factors.

• No specific financial guidance was provided.

• The board recommended and paid a final dividend of ₹12.50 per share for FY25, following shareholder approval.