Tanla Platforms (TANLA) Q1 25/26 earnings summary

Executive summary

• Launched AI-native and MaaP platforms with Southeast Asian telcos, driving new use cases and early promising results.

• Achieved revenue growth in Q1 FY26, with OTT channels and enterprise business as key drivers.

• Board approved unaudited financial results for Q1 FY26, confirming no material misstatements.

• Announced a buyback of 2,000,000 shares at ₹875 per share, with a maximum outlay of ₹17,500 lakhs.

• Maintained a zero-debt balance sheet and strong cash reserves.

Financial highlights

• Q1 FY26 consolidated revenue was ₹100,220.49 lakhs, up 1.6% QoQ and 3.8% YoY, with OTT revenue share rising to 32.3%.

• Gross margin for Q1 FY26 was 25.0%, with EBITDA margin at 15.8% and PAT margin at 11.4%.

• Basic EPS for Q1 FY26 was ₹8.82.

• Free cash flow was negative at (₹309 Mn) due to delayed collections; DSO at 91 days.

• Platform revenues saw a minor drop in the last two quarters, attributed to temporary blips.

Outlook and guidance

• Management targets 20% EBITDA CAGR over two years, driven by new platforms and enterprise growth.

• Growth expected to accelerate from Q2 FY26 as new platforms and deals contribute.

• Focus on innovation, AI/ML solutions, and expansion in OTT and RCS channels.

• Merger of Gamooga Softtech with Karix Mobile expected to complete by end of FY26.