Expleo Solutions Q2 revenue rises 3.5%, profit slips 1.1%

Expleo Solutions Ltd reported consolidated revenue from operations of ₹293 crore for Q2 FY27, up 3.5% year on year, while net profit attributable to shareholders declined 1.1% to ₹39.3 crore. The July-September quarter showed modest revenue growth but lower EBITDA, profit before tax and earnings per share compared with the corresponding quarter a year earlier.

What did Expleo Solutions report for Q2 FY27?

Expleo Solutions reported consolidated revenue from operations of ₹292.6 crore, rounded to ₹293 crore, for the quarter ended September 30, 2026. Revenue rose from ₹282.7 crore in Q2 FY26 and was marginally higher than ₹291.5 crore in Q1 FY27. The company disclosed the unaudited standalone and consolidated results after its board meeting on November 14, 2026.

Net profit attributable to shareholders stood at ₹39.3 crore, compared with ₹39.8 crore a year earlier and ₹34.2 crore in the preceding quarter. The year-on-year movement was a decline of 1.1%, while the sequential increase was 15.1%. Reported consolidated net profit, including the minority shareholders' share, was ₹36.4 crore, down 8.5% from the prior-year quarter.

The board also approved results for the half year ended September 30, 2026. The statutory auditors issued an unmodified limited-review conclusion, according to the reported board-meeting highlights. The financial information is to be made available on the company's investor website.

How did Expleo Solutions' margins and earnings change?

Expleo Solutions' EBITDA fell 13.4% year on year to ₹40.4 crore from ₹46.7 crore, despite the increase in revenue. EBITDA margin narrowed by 2.7 percentage points to 13.8% from 16.5% in Q2 FY26. This indicates that earnings at the EBITDA level did not keep pace with revenue during the quarter.

Profit before tax declined 10.1% to ₹46.2 crore from ₹51.4 crore in the corresponding period last year. Earnings per share fell 8.5% to ₹23.45 from ₹25.62. The company also reported other income of ₹10.0 crore, compared with ₹12.7 crore in Q2 FY26 and ₹6.9 crore in Q1 FY27.

A separate consolidated results summary put operating margin at 15.3% for Q2 FY27, against 17.4% in Q2 FY26 and 14.8% in Q1 FY27. This is a separately reported operating-margin measure and should not be treated as directly interchangeable with the EBITDA-margin figure disclosed in the quarterly comparison.

What was included in the board's Q2 FY27 decisions?

Expleo Solutions' board approved unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2026. The company had previously scheduled the November 14 board meeting to consider these results, and the announcement was made on the same day.

The company also appointed Bastien Georges Andre Lefranc as an Additional Director. The appointment remains subject to shareholder approval. The reported results highlights said the standalone financial statements included an exceptional item related to new labour codes, though the provided information did not specify the monetary value of that item.

On a standalone basis, revenue was ₹259.9 crore. Standalone revenue rose 1.0% year on year and 1.7% sequentially, while standalone net profit was ₹31.5 crore, up 8.0% from the preceding quarter and down 6.1% from the prior-year quarter. The reported estimated standalone operating margin was 11.8%.

Why do the quarterly figures matter for investors?

Expleo Solutions' Q2 figures show that the company maintained year-on-year revenue growth but faced a reduction in reported margins and several profit measures. Revenue increased by ₹9.9 crore from Q2 FY26, while EBITDA decreased by ₹6.3 crore and profit before tax declined by ₹5.2 crore. These movements provide the immediate context for the lower shareholder profit and EPS compared with last year.

The sequential data present a more mixed comparison. Revenue from operations increased by ₹1.1 crore from Q1 FY27, and consolidated net profit increased from ₹34.2 crore to ₹36.4 crore. Other income was also higher sequentially, at ₹10.0 crore versus ₹6.9 crore. However, the supplied data do not provide a detailed explanation for the changes in costs, margins or other income.

Expleo Solutions operates as an India-based software services provider, with software validation and verification services identified as a key area and BFSI customers worldwide among its stated markets. The company has an operating history of more than 25 years across India, APAC, the US, the UK, Europe and the Middle East, according to its corporate information. It is listed on the NSE and BSE.

What are the next disclosed events for Expleo Solutions?

Expleo Solutions has scheduled an investor call for November 16, 2026, at 11:30 AM IST to discuss its Q2 FY27 results and outlook. The call follows the board meeting and is intended to give shareholders access to management's quarterly discussion through global dial-in facilities and Diamond Pass.

For investors, the call is the next scheduled opportunity to seek clarity on the margin movement, the exceptional item connected with new labour codes, and the distinction between the reported consolidated profit figures. The company has not provided further guidance, targets or a detailed cost explanation in the information supplied with the results announcement.

Conclusion

Expleo Solutions delivered 3.5% year-on-year growth in Q2 FY27 revenue to ₹293 crore, but EBITDA fell 13.4% and net profit attributable to shareholders slipped 1.1% to ₹39.3 crore. The quarter therefore reflected steady top-line growth alongside weaker year-on-year profitability and a narrower EBITDA margin.

The next item to watch is the November 16, 2026 investor call, when management is scheduled to discuss the quarter. Investors may look for further detail on the new labour-code exceptional item, cost and margin trends, and the company's outlook following the Q2 FY27 results.