Birlasoft Limited

Birlasoft is a part of the well-established and diversified CKA Birla Group, a multinational conglomerate operating in four major industry clusters, namely technology, automotives, home & building, and healthcare, with over 35,000 employees and 50 manufacturing facilities across five continents. Birlasoft derives financial flexibility and benefits from the strong management lineage of the group. It is promoted by National Engineering Industries Limited (holding 38.53% stake in Birlasoft as on Ju

Birlasoft offers a wide range of services in the IT operations space across three key service verticals; digital and data (contributing 57% revenue in FY26 and Q1 FY27), enterprise resource planning (ERP; ~32%) and infrastructure services (~11%). The company derives its revenue from diversified end -user segments, which include manufacturing (38% revenue share in Q1 FY27 ), BFSI (25%), energy and utilities (18%) and lifesciences (20%). This diversification enables the company to withstand indust

Driven by a softened demand environment in the IT services industry owing to macroeconmic headwinds, low discretionary spending and cautious pricing by customers, Birlasoft registered a modest growth momentum in its TOI over the recent fiscals to ₹5,310 crore (YoY growth of 2% in FY25 and YoY de-growth of 1.2% in FY26 in INR terms). While the active number of accounts have reduced sequentially, from 259 in FY24 and 254 in FY25 to 221 in FY26 and 213 in Q1FY27, the revenue and profit per client

The company continues to maintain a strong financial risk profile marked by a comfortable capital structure, negligible debt (term loan of ₹8 crore and lease liabilities of ₹132 crore as on March 31, 2026), nil working capital (WC) utilisation and superior liquidity position characterised by ₹2,878.6 crore of cash and liquid investments as on June 30, 2026, and a strong net worth base of ₹3,512 crore as on March 31, 2026. Overall gearing stood at 0.04x as on March 31, 2026 (PY: 0.05x). Debt cove

Birlasoft’s presence in a highly competitive industry leads to pricing pressure, deal renegotiations, deferrals, and talent retention challenges, which may directly impact revenue growth and profitability. IT services industry is exposed to macroeconomic factors in the clients’ domestic markets and as such, is impacted by economic conditions, regulatory changes and political situations of the world. Moderation in earnings in FY25 and FY26 was a result of cut in discretionary spending by clients

Birlasoft’s geographical revenue trend remains aligned with the global information technology services industry, withover 80% revenue being derived from America. Skewness to a single geography exposes revenue and profitability to structural and region- specific challenges. The company is focusing on expanding global coverage and securing deals outside America. Its top five customers contributed 42% to revenue in FY26, increasing from 37% in FY25 while top 10 customers contributed 55% to overall