Alldigi Tech FY26: Revenue ₹599 Cr, EBITDA Margin 27.1%

Results announced after board approval

Alldigi Tech’s board approved the audited Q4 FY26 and full-year FY26 results on 7 May 2026, followed by an earnings conference call scheduled for 8 May 2026. The numbers underline steady revenue growth, sharper profitability, and a rising share of international business. The company operates across two verticals: BPM (Business Process Management) and Tech and Digital services. Management flagged that growth was broad-based across both verticals, supported by operating leverage and scale benefits. Cash collections were described as robust, with year-end cash balances remaining healthy. Alongside financial disclosures, the company also shared operational metrics such as employee records processed and new ACV additions.

FY26 headline performance: revenue, EBITDA, PAT

For the full year FY26, revenue from operations stood at ₹598.7 crore, up 9.6% year on year. EBITDA (referred to as IBIDA in the management commentary) was ₹162 crore, up 25% year on year, with margins improving to 27.1% from 23.7% in the previous year as stated. Profit after tax (PAT) for FY26 was ₹82.2 crore, described as largely stable compared to last year, with a PAT margin of 13.7%. The company attributed the margin improvement to operating leverage and scale benefits. Management also indicated that currency depreciation contributed 3.3% to growth, while 6.3% was attributed to other growth drivers as stated in the call commentary.

Q4 FY26 performance: profit jump outpaces revenue

In Q4 FY26, revenue from operations came in at ₹154.7 crore, up 5.9% year on year and 1.3% quarter on quarter. EBITDA rose 24.2% year on year to ₹43.7 crore. PAT for the quarter stood at ₹28.9 crore, up 49.7% year on year and 38.6% quarter on quarter. One set of highlights in the provided context pegged Q4 EBITDA margin at 28.2% with a 416 bps year-on-year expansion, while another metric cited operating margin excluding other income at 28.23% and down 182 bps sequentially from 30.05% in Q3 FY26. Taken together, the quarter showed strong profit growth with mixed signals on sequential margin movement.

Segment performance: BPM steady, Tech and Digital faster

The BPM segment reported Q4 revenue of ₹110.4 crore, up 4% year on year, and management described it as stable performance. For FY26, BPM revenue grew 7.3% year on year to ₹442.4 crore, with growth continuing to be driven by international markets. International BPM revenues grew 8.7% year on year in Q4.

Tech and Digital delivered stronger growth rates. Q4 revenue for Tech and Digital was stated at ₹44.3 crore, up 22.3% year on year and 14.5% quarter on quarter. For the full year, Tech and Digital revenue grew 16.5% year on year to ₹156.2 crore. Management linked the momentum to additions in the managed employee records base and continued leadership in India’s managed services segment.

International mix rises across the business

Management said the overall share of international business increased by 3 percentage points, rising from 64% to 67%. Another data point in the provided context specified that international revenue accounted for 67.3% of Q4 FY26 revenue, up from 63.6% in Q4 FY25. Within BPM, the international business remained a key driver, and within CXM (part of BPM), international business was stated to contribute 78% of total CXM revenue on a full-year basis, up from 73% last year. These disclosures position international performance as central to overall growth and margin outcomes.

Profitability, segment margins, and cash generation

For Q4 FY26, EBITDA was ₹43.7 crore, and for FY26 it was ₹162 crore, with FY26 EBITDA margin at 27.1%. Segment margin disclosures in the commentary showed BPM segment margin at ₹15 crore in Q4, and ₹62.3 crore for the full year, reflecting 16.8% growth as stated. Tech and Digital segment margin stood at ₹19.5 crore in Q4 with margins stated at 44%, while the full-year segment margin was ₹66.6 crore, up 28.9% year on year, driven by higher volumes and improved operating leverage.

Cash metrics were also highlighted. Year-end cash position stood at ₹147.7 crore. Collections for FY26 increased to ₹626.1 crore, up 9% year on year. Operating cash flow (OCF) for Q4 was ₹45.3 crore with OCF-to-EBITDA conversion at 103.8%, while full-year OCF was ₹144.1 crore with conversion at 88.9%.

Operating metrics: volumes, ACV wins, delivery KPIs

On operational performance, the company disclosed that it processed 49.9 lakh employee records in Q4, taking the FY26 total to 191.5 lakh records. Management also stated it added ₹40.1 crore of new ACV across both new customers and expansions. In the BPM and CXM context, the company disclosed it added ₹54.1 crore of new ACV across new customers and expansions.

Service delivery metrics such as payroll accuracy, on-time delivery, and query turnaround time were said to have improved year on year. Separately, the results context referenced the migration to the SmartPay 4 platform, with 92% of India customer revenues on the new technology stack. It also stated that an HRMS V2 upgrade was completed, with employee records processed reaching 45.4 lakh, up 12% year on year.

Corporate updates: tax matters, dividend, leadership

The provided context noted that Alldigi Tech received an income tax refund of ₹4.32 crore in April 2026. It also said the company is contesting a ₹18.61 crore GST assessment order from late 2025 related to input tax credit issues, while stating no major business impact is expected. The company had declared an interim dividend of ₹30 per share during Q3 FY26. A leadership update in the context noted that Natarajan Laxsmanan assumed the role of CEO in March 2026.

Management commentary and FY27 margin view

Management said it delivered steady revenue growth with a healthy IBIDA margin while expanding offerings and capabilities. In the call commentary, management also indicated an expectation of around a 29% full-year margin for FY27. This guidance, alongside the FY26 margin expansion to 27.1%, frames profitability as a key investor focus for the next fiscal year.

Key numbers at a glance

What investors may track next

The 8 May 2026 earnings call was scheduled to provide detailed management commentary, including clarity on growth drivers, profitability trends, and FY27 margin expectations. Investors may also track the pace of Tech and Digital growth versus BPM stability, the trajectory of international mix, and updates on the GST dispute. Cash collections and operating cash conversion remain key indicators given the company’s emphasis on robust cash performance.

Conclusion

Alldigi Tech closed FY26 with ₹598.7 crore in revenue, improved EBITDA margins at 27.1%, and a sharp year-on-year profit jump in Q4. The next immediate checkpoint is management’s detailed commentary on the earnings call and any further disclosures on FY27 margin execution and ongoing tax matters.