Quess Corp (QUESS) Q1 26/27 earnings summary

Executive summary

• Q1 FY 2027 consolidated revenue was INR 4,182 crore (INR 41,816.85 million), up 15% year-on-year and 7% quarter-on-quarter, with broad-based growth across all core segments and headcount reaching 482,214, maintaining leadership in domestic staffing.

• EBITDA reached INR 85 crore, up 21% year-on-year with a margin of 2.02%; PAT was INR 82 crore (INR 821.24 million), up 61% year-on-year, and EPS rose to 5.5.

• Zero-debt status maintained as of June 2026, with a healthy net cash position and a final dividend of INR 3 per share declared.

• Received income tax refunds totaling INR 261 crore, boosting other income; one-time revenue impact of INR 176 crore due to new Labor Code implementation.

• Incorporated an Employees Welfare Trust for a new stock ownership plan.

Financial highlights

• General Staffing revenue was INR 3,596 crore, up 15% year-on-year and 8% quarter-on-quarter; EBITDA at INR 51 crore, up 12% year-on-year.

• Professional Staffing revenue reached INR 252 crore, up 3% year-on-year and 9% sequentially; EBITDA at INR 28 crore, up 12% year-on-year with 11% margin.

• Overseas business revenue was INR 333 crore, up 17% year-on-year; EBITDA at INR 21 crore, up 17% year-on-year with 6.2% margin.

• Other income rose to INR 26 crore from INR 6 crore in Q4 FY 2026, mainly from income tax refunds.

• Basic EPS for the quarter was INR 5.50, up from INR 4.29 year-on-year.

Outlook and guidance

• Management expects strong Q2 driven by festive season demand, new contracts, and a healthy open sourcing book.

• Targeting 10%-11% annual headcount growth in General Staffing, aiming for 40,000-50,000 additions per year.

• Strategic focus on higher-margin, dollar-linked business, aiming for 20%-25% of revenue in USD within 3-4 years, and scaling Professional Staffing and international business.

• Continued focus on technology-driven productivity and margin improvement.

• Monitoring impact of new Labour Codes and defending tax positions under section 80JJAA.