SoftTech Engineers Limited: Building Strong Foundations with Robust Q3 and 9M FY26 Performance

SoftTech Engineers Limited, a pioneer in empowering transformation through its innovative software solutions, has reported a strong financial performance for the third quarter (Q3) and nine-month period (9M) of the fiscal year 2025-26. The company's consolidated revenue from operations for Q3 FY26 surged by an impressive 51% year-on-year, reaching ₹32.49 crore, up from ₹21.55 crore in Q3 FY25. For the cumulative 9M period, revenue grew by 34% to ₹86.31 crore, compared to ₹64.25 crore in the corresponding period of the previous fiscal year. This consistent growth underscores the increasing demand for SoftTech's offerings and its effective market penetration strategies.

Profitability metrics also showcased significant improvement. Consolidated EBITDA for Q3 FY26 witnessed a remarkable 72% year-on-year increase, climbing to ₹10.01 crore from ₹5.83 crore in Q3 FY25. The 9M EBITDA followed suit, growing by 39% to ₹24.38 crore against ₹17.55 crore in 9M FY25. This robust growth in operational profitability highlights the company's enhanced efficiency and scaling benefits. However, the reported Profit After Tax (PAT) for Q3 FY26 stood at ₹1.17 crore, impacted by a one-time exceptional item of ₹2.17 crore. This expense arose from a provision for gratuity under a new Labour Law introduced by the Central Government on November 21, 2025. Despite this, the operational PAT, excluding this exceptional item, saw a phenomenal 9.0X year-on-year growth for Q3 and 3.3X for the 9M period, demonstrating the underlying strength of the business.

Operational Excellence and Strategic Momentum

SoftTech's operational success in Q3 FY26 was marked by several key achievements. The company secured bids amounting to ₹33 crore during the quarter, contributing to cumulative wins of ₹128 crore for the 9M period. Furthermore, SoftTech boasts a confirmed order book of ₹242 crore and a substantial pipeline of ₹494 crore, providing strong revenue visibility for the coming periods. This robust order inflow is a testament to the company's competitive edge and the relevance of its solutions in the market.

A significant highlight is the growth in SaaS revenue, which increased by 69% year-on-year in Q3 to ₹7.68 crore. The 9M SaaS revenue reached ₹21.25 crore, marking a 42% increase. This shift towards a recurring revenue model is a positive indicator of long-term stability and predictable cash flows. The company's R&D efforts are also yielding results, with Civit Metaverse and Civit AI taking shape and ready for production in the German and US markets, signaling an aggressive push into advanced technological offerings and international expansion.

Financial Summary (Consolidated)

Strategic Vision for Future Growth

SoftTech Engineers Limited has outlined a clear three-horizon strategy to drive future growth. Horizon 1 focuses on