Investor Presentation on the Audited Financial Results for the quarter and year ended March 31, 2026
FRACTAL · price
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Fractal Analytics reported strong Q4 FY26 results with revenue of INR 8,863m (+17% YoY) and net income of INR 1,158m (+109% YoY). Full year FY26 revenue was INR 32,997m (+19% YoY) with net income of INR 2,868m (+30% YoY, or +43% excluding associates). Gross margin expanded to 48% (+47 bps in Q4, +93 bps for FY26) and adjusted EBITDA margin improved to 22% (+189 bps YoY in Q4). The company maintains a healthy balance sheet with INR 20,520m cash and zero long-term debt. Net Revenue Retention (NRR) remained strong at 112-117%, indicating existing client expansion. Revenue per Billable FTE grew 5% to USD 85K. The company is a pure-play enterprise AI firm anchored by its Cogentiq agentic AI platform and serves 59 clients with over $1m annual revenue.
The sharp improvement in net income (+109% in Q4) driven by margin expansion demonstrates strong operating leverage. The company's focus on profitability while scaling investments positions it well for sustainable growth, though the high valuation multiples may limit near-term upside if growth moderates.