This article first appeared on GuruFocus .
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Revenue Growth:24% year-on-year increase to INR249 crores.
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EBITDA:INR46 crores, a 31% year-on-year and 26% quarter-on-quarter growth, with margins at 18.40%.
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Net Profit:INR32 crores, a 26% year-on-year and 8% quarter-on-quarter growth, with PAT margins at 12.99%.
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Revenue by Region:Americas 44%, Europe 21%, Asia Pacific and other regions 35%.
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Revenue by Delivery Model:On-site 44%, Offshore 56%.
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Revenue by Vertical:BFS 31%, Emerging Verticals 47%, Logistics 14%, Commerce 8%.
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Customer Metrics:16 customers with USD1 million plus revenue.
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Employee Count:Total 2,616, with 2,370 technical employees and 86% utilization excluding trainees.
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Warning! GuruFocus has detected 2 Warning Signs with BOM:590051.
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Release Date: February 03, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Saksoft Ltd ( BOM:590051 ) reported a strong year-on-year revenue growth of 24%, reaching approximately INR249 crores.
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The company's EBITDA grew by 31% year-on-year and 26% quarter-on-quarter, with margins at 18.40%.
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Saksoft Ltd successfully repositioned itself as an AI-led product engineering company, which has started to yield positive results.
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The acquisition of Salesforce and ServiceNow partners, SEPI and Z Techno, has led to increased traction across million-dollar accounts.
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The company added a new customer in the USD0.5 million bracket and scaled an existing client to the USD1 million bracket, demonstrating its ability to expand and deepen customer relationships.
Negative Points
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The IT sector is facing severe headwinds due to global geopolitical tensions, impacting demand across sectors.
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Despite strong performance, the company anticipates challenges in maintaining the current EBITDA margin of 18.5% due to currency fluctuations and annual increment cycles.
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The transition to AI-led services has not yet resulted in significant revenue growth, as clients are cautious in adopting AI solutions.
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The company faces competition from larger tech firms, which could impact its ability to increase wallet share with existing customers.
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Saksoft Ltd's growth strategy heavily relies on the US market, which contributes 44% of total revenues, posing a risk if geopolitical or economic conditions change.
Q & A Highlights
Q: Can you elaborate on Saksoft's strategy to achieve the $500 million revenue milestone by 2030, and how AI is impacting your business model? A: Aditya Krishna, Executive Chairman and Managing Director, explained that revenue growth is proportional to headcount, which is expected to quadruple to 12,000 by 2030. AI is seen as a hygiene factor, improving productivity rather than being directly sold to clients. The focus is on increasing wallet share with existing customers and adding new logos, with AI enhancing operational efficiency.
Q: What is the outlook for EBITDA margins, and how does the company plan to sustain growth? A: Niraj Kumar Ganeriwal, CFO and COO, stated that the 18.5% EBITDA margin seen in the quarter is not sustainable due to factors like currency depreciation and annual increments. The expected margin range for the year is 16.5% to 17.5%. The focus is on profitable top-line growth by giving up low-margin businesses.
Q: How is Saksoft addressing the potential impact of tariffs and geopolitical uncertainties on its business? A: Aditya Krishna highlighted that while tariffs introduce uncertainty, the company is focusing on diversifying its geographical presence beyond the US, particularly in Europe and the UK, to mitigate risks associated with US market volatility.
Q: What is the company's strategy for client acquisition and retention, especially in a competitive landscape? A: The strategy involves focusing on existing clients to increase wallet share, with client partners replacing non-performing hunters. The aim is to secure one or two new logos per quarter, emphasizing flexibility and responsiveness to client needs, which provides an edge over larger competitors.
Q: How is AI being integrated into Saksoft's offerings, and what has been the traction so far? A: Saksoft has developed an AI platform, sac.AI, which supports the software development lifecycle. While there has been some traction, the revenue impact has been less than anticipated. The company remains committed to leveraging AI to enhance productivity and competitiveness.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
