Latent View Analytics Q4 FY26: Crossing INR 1,000 Crore, While Rebalancing Beyond Tech

Latent View Analytics closed FY26 with a clean headline milestone: consolidated operating revenue crossed INR 1,000 crore for the first time. The company reported FY26 operating revenue of INR 10,602 million (about INR 1,060.2 crore), adjusted EBITDA of INR 2,438 million (about INR 243.8 crore) at a 23.0% margin, and reported PAT of INR 2,021 million (about INR 202.1 crore). In Q4 FY26, revenue from operations was INR 2,886 million (about INR 288.6 crore), with adjusted EBITDA margin at 24.1%.

The quarter was also notable for what management acknowledged as a near-term growth complication in its largest vertical. One large technology client saw a deeper rationalization than earlier expected, but the company still delivered a small sequential improvement in USD revenues in Q4. The earnings call repeatedly returned to one core theme for FY27: growth will be driven less by traditional technology accounts and more by non-tech verticals, partnerships, and AI-led work.

FY26 performance: strong growth and steady profitability

From the year of listing, Latent View’s revenue trajectory has been steady. The investor presentation showed FY22 revenue at USD 54.9 million and FY26 revenue at USD 119.8 million, implying a 21.5% CAGR. In FY26, USD revenue grew 19.4% year-on-year to USD 119.8 million.

The quarterly profile also remained constructive. Q4 FY26 revenue from operations rose 24.3% year-on-year and 3.8% quarter-on-quarter to INR 2,886 million. Adjusted EBITDA was INR 695 million in Q4 FY26, up 22.3% year-on-year.

One nuance investors had to track during the year was the effect of one-off costs and forex movement on margins. The company disclosed a detailed margin walk from Q3 to Q4 FY26. The prior quarter included a one-time labour code impact and severance associated with headcount rationalization. In Q4, margins benefited from a stronger dollar, but this was partly offset by higher travel and other SG and A costs.

Management also flagged that FY26 was the last year in which transaction-related retention expenses associated with the acquisition would be incurred, implying one less adjustment line item going forward.

Mix is shifting: less tech-heavy, but still US-centric

Latent View’s revenue mix is still anchored in the US and the technology vertical, but the direction of travel is changing.

The investor presentation disclosed FY26 revenue by industry as:

• Technology: 55%
• Consumer and Retail: 22%
• Financial services: 16%
• Industrials: 7%

Geography mix for FY26 was:

• USA: 85%
• APAC: 8%
• LATAM: 4%
• Europe: 3%

On the call, management added historical context: the technology vertical was around 70% of revenue roughly eight quarters earlier, and the US was around 94% at that time. In the latest quarter, they said the rest of the world share had increased to about 15%.

While the presentation still shows a very high US share, the management narrative suggests incremental diversification. This is also visible in the company’s operating footprint: North America was reported as 148 clients serviced and 248 employees, while APAC had 14 clients and 1,542 employees.

The big FY26 disruption: one tech client shrinks, but pipeline rebuild is underway

The most direct operational headwind discussed in the call was a contraction in one large technology account. In Q3, management had guided for an annual revenue drop of about USD 5.5 million to USD 6 million. In Q4, the CFO updated this as a larger shrinkage of USD 6.5 million to USD 7 million.

The CEO described two drivers:

1. Vendor consolidation at the client side
2. A preference by a new leader to shift work in-house toward full-time employees

Management also offered a recovery target. They said the intent is to recoup around 50% to 60% of the lost annual contract value via new deal threads, with a stated target to reach about 95% of the prior year’s revenue from this client on a full-year basis, depending on timing.

This matters because it shapes the FY27 playbook. In response to a question on which verticals will do the heavy lifting, the CFO stated that non-tech verticals will be the primary growth drivers in FY27.

AI and agentic work: broad adoption, and higher gross margins

AI was not presented as a separate product line. Instead, management described it as embedded across engagements. The CEO said almost half of the work involves AI in some shape or form, and cited practical examples of agentic workflows in payments and invoice reconciliation, market intelligence and orchestration, automated campaign execution, fraud and counterfeit detection for marketplaces, and warranty claims handling in manufacturing.

A key clarification was commercial. When asked about token costs and pass-through revenue, management stated that clients typically bear LLM and infrastructure costs. Therefore, the revenue reported by Latent View is its own services revenue, not token pass-through.

The company also began publishing a gross margin metric in the investor presentation. FY26 gross margin was disclosed at 50.8%. On the earnings call, management said AI-led projects deliver gross margins in the 55% to 58% range. While this does not automatically translate into higher consolidated EBITDA, it does suggest a structural profitability advantage if AI work scales and the delivery model holds.

Databricks partnership: a disclosed revenue engine, with ambitions to accelerate

The investor presentation positioned the Databricks partnership as a key strategic pillar for the next three years. The call added revenue specificity: management said revenue from the Databricks ecosystem was about USD 17.5 million in FY26 versus about USD 12 million in FY25.

The CEO stated an expectation that the Databricks portfolio could grow at 60% plus. Management also described deeper partnership engagement, including participation in Databricks leadership forums and plans for a strong presence at the Databricks Summit in June, supported by client and prospect events.

A notable strategic angle was inorganic. The CEO said the company is evaluating potential acquisition opportunities where targets may come with stronger Databricks professional services partnerships, and that this approach was discussed with Databricks leadership.

FY27 guidance: growth aspiration intact, but EBITDA guided lower due to investments

Management gave a multi-layered view on FY27.

• Organic growth for FY26 excluding the acquisition impact was stated as about 18.2% to 18.3%.
• For FY27, management said the current high-visibility order book and pipeline provides confidence for about 12% to 13% USD revenue growth at the start of the year.
• They reiterated that investments are being made to target growth similar to FY26, implying an 18% to 20% aspiration.

Vertical outlook ranges were also shared:

• Technology vertical: 5% to 8% growth
• Consumer: 18% to 22% growth
• BFSI: growth rate expected to moderate versus FY26, but still at least around 40%

On margins, the message was more conservative. The CFO said the company’s planning assumption for FY27 is EBITDA of about 21% to 22%, driven by leadership hiring investments in the AI CoE and Databricks practice. They also cited recruitment-related professional fees as a Q4 cost headwind.

What to track from here

Latent View exits FY26 with a stronger scale, a more diversified vertical mix than a year ago, and clear momentum in Databricks and AI-led work. At the same time, the earnings call made it clear that the near-term narrative includes rebuilding what was lost in a large technology account and executing a shift toward more non-linear, outcome-linked commercial models.

For investors, FY27 becomes a test of three execution threads that management itself highlighted: converting AI traction into repeatable, higher-margin programs, scaling the Databricks ecosystem faster than the core, and sustaining growth in BFSI and Consumer while technology stabilizes.