Sagility (SAGILITY) Q4 24/25 earnings summary

Executive summary

• FY25 revenue reached ₹55,699 million, up 17.2% year-over-year, with strong growth from existing and new clients and momentum from the BroadPath acquisition.

• Adjusted EBITDA for FY25 was ₹14,685 million, up 28.4% year-over-year, and adjusted PAT was ₹8,107 million, up 37.5% year-over-year.

• Q4 FY25 revenue was ₹15,685 million, up 22.2% year-over-year; adjusted PAT for Q4 grew 45.2% year-over-year.

• BroadPath acquisition expanded U.S. healthcare solutions, added 30+ new clients, and is expected to unlock further mid-market opportunities and cross-sell initiatives.

• The group now supports six of the top ten U.S. payers and operates 33 delivery centers across five countries.

Financial highlights

• FY25 adjusted EBITDA margin was 26.4%; Q4 FY25 adjusted EBITDA margin was 25.8%.

• Operating cash flow for FY25 was ₹12,141 million, representing 89.7% of EBITDA; free cash flow was ₹10,896 million (80.5% of EBITDA).

• Adjusted EPS for FY25 was ₹1.76, up 27.7% year-over-year; basic EPS was ₹1.17, up 119.3%.

• Net debt at year-end was ₹21,678 million, with net debt to adjusted EBITDA at 1.85x.

• Total comprehensive income for FY25 was ₹6,431 million.

Outlook and guidance

• Maintains low-to-mid teens constant currency organic revenue growth guidance for the medium term.

• FY26 total constant currency growth, including BroadPath, expected to exceed 20%.

• Adjusted EBITDA margin guidance remains at 24%-25% pre-BroadPath dilution; post-acquisition, margin expected at 23%-24%.

• Targeted cross-sell initiatives planned for FY26 leveraging BroadPath's mid-market client base.

• Ongoing focus on technology investments, especially AI and healthcare-specific solutions, to drive margin resilience and long-term growth.