Fractal Analytics FY26: Revenue +19%, PAT +30%, Debt-Free

What Fractal reported for Q4 and FY26

Fractal Analytics Ltd (BSE: 544700) (NSE: FRACTAL) announced its consolidated financial results for the quarter and year ended March 31, 2026. The update pointed to a strong finish to FY26, led by revenue growth, a sharp increase in quarterly profit, and margin expansion. In Q4 FY26, consolidated revenue from operations rose 17% year-on-year to ₹886.3 crore, compared with ₹757.5 crore in Q4 FY25. Profit after tax in the quarter more than doubled year-on-year, with multiple disclosures citing net income of ₹115.8 crore (INR 1,158 million) and other reports stating quarterly net profit of ₹117.8 crore.

For the full year, Fractal reported revenue growth of about 19% and profit growth of 30%. Annual revenue from operations increased to ₹3,299.7 crore in FY26 from ₹2,765.4 crore in FY25. Consolidated PAT rose to around ₹287 crore (INR 2,868 million, or ₹286.8 crore) from ₹221 crore the previous year. The company also said it became debt-free after repaying long-term debt using IPO funds.

Q4 FY26 revenue and profit: the headline numbers

The March quarter showed a sharp jump in profitability alongside steady top-line growth. Revenue from operations in Q4 FY26 came in at ₹886.3 crore, reflecting a 17% increase over the year-ago period. Quarterly net profit was reported at ₹117.8 crore versus ₹54.8 crore a year ago, implying growth of about 115%. Another disclosure in the same results set cited net income growth of 109% year-on-year to INR 1,158 million (₹115.8 crore), which broadly aligns with the reported PAT figure after rounding.

Operating profit also moved higher. EBITDA in Q4 FY26 was reported at ₹206.1 crore, up 54.73% from ₹133.2 crore in Q4 FY25. Earnings per share increased to ₹7.07 in March 2026 from ₹3.54 in March 2025, based on the reported consolidated quarterly numbers.

Full-year FY26: 19% revenue growth and 30% PAT growth

Fractal closed FY26 with revenue from operations of ₹3,299.7 crore, up from ₹2,765.4 crore in FY25. This works out to roughly 19% year-on-year growth, consistent with the company’s headline statement on full-year revenue growth. Full-year consolidated PAT grew 30% to around ₹287 crore from ₹221 crore.

The company’s filings also referred to profitability improving beyond the headline PAT figure in certain measures. Excluding losses from associates, annual profit was stated to have risen 43% to ₹357 crore. While that metric is different from reported PAT, it provides an additional view of performance that the company highlighted alongside the statutory numbers.

Vertical performance: Healthcare and BFSI lead growth

Fractal pointed to strong growth in key industry verticals, particularly Healthcare and Life Sciences (HLS) and Banking, Financial Services, and Insurance (BFSI). HLS revenue rose 82% year-on-year in Q4 and 66% for the full fiscal year, with the rollout of Vaidya 2.0 cited as a driver in the quarter. BFSI also contributed meaningfully, with Q4 growth reported at 42% in one disclosure and full-year growth reported at 32%.

These vertical trends matter because they help explain how Fractal sustained double-digit growth even as it also expanded margins. The results commentary also stated that Fractal expanded relationships with existing clients, indicating that growth was not only driven by new wins.

Margins: gross margin at 48.2% in Q4, EBITDA margin at 22%

Fractal reported a Q4 gross margin of 48.2%, representing an expansion of 47 basis points year-on-year. Adjusted EBITDA margin expanded by 189 basis points to 22% in the quarter. The combination of higher revenue and margin expansion supported the sharp rise in quarterly profit.

For the full year, the company reported gross margin expansion of 93 basis points to 47%. It also reported an adjusted EBITDA margin expansion of 18 basis points for the year. Net income margin expanded by 72 basis points to 8.7%, aligning with the full-year profit growth of 30%.

Client metrics: NRR of 112% and NPS of 81

Alongside financial metrics, Fractal disclosed customer and retention indicators. Net revenue retention (NRR) stood at 112% in Q4 FY26, indicating expansion within the existing client base during the quarter. The company also reported a net promoter score (NPS) of 81 for the period, positioning it as an “industry-leading” metric in its update.

These indicators are often watched by investors in analytics and enterprise AI services because they can help explain revenue durability. In this case, the reported NRR supports the company’s statement that it expanded relationships with existing clients.

Balance sheet update: Fractal says it is now debt-free

A key corporate update alongside the results was the debt position. Fractal said it is now debt-free after repaying long-term debt with IPO funds. This is a material change in the balance sheet profile, particularly for a firm investing in AI and analytics capabilities while also reporting margin expansion.

The company’s announcement framed this as a completed step, not a plan. As a result, the debt-free status is positioned as a current condition at the end of the reporting period, rather than a future target.

Key reported numbers at a glance

Why these results matter for investors tracking enterprise AI

Fractal’s FY26 results combine three factors that investors typically track in AI and analytics services companies: sustained revenue growth, expanding profitability, and signs of strong client retention. In Q4, the company reported higher gross margin and a rise in adjusted EBITDA margin to 22%, while net income more than doubled year-on-year. On a full-year basis, revenue rose about 19% and PAT grew 30%, with net income margin expanding to 8.7%.

The segment detail strengthens the narrative around where growth is coming from. Healthcare and Life Sciences stood out with 82% year-on-year growth in Q4 and 66% growth for FY26, while BFSI also grew strongly across both the quarter and the year. The debt-free announcement adds a balance-sheet angle that can be relevant when assessing financial flexibility, given that the company explicitly linked debt repayment to IPO funds.

Conclusion

Fractal Analytics ended FY26 with revenue rising to ₹3,299.7 crore and consolidated PAT around ₹287 crore, alongside reported margin expansion and a sharp increase in Q4 profit. The company also reported NRR of 112% in Q4, NPS of 81, and said it is now debt-free after repaying long-term debt using IPO proceeds. The next key reference points for investors will be how these vertical growth trends and margin levels track in subsequent quarters based on the company’s future filings and updates.