Tanla Platforms Q3 FY26: Revenue tops ₹1,121 crore

What Tanla reported for Q3 FY26

Tanla Platforms Limited announced its Q3 FY26 results for the quarter ended December 31, 2025, reporting double-digit year-on-year growth across revenue and operating profit. The company said revenue from operations (net) rose 12.1% YoY to ₹1,121.0 crore, crossing the ₹1,100 crore mark for the first time. Gross profit increased faster than revenue, up 18.7% YoY to ₹309.3 crore, while EBITDA grew 16.6% YoY to ₹190.5 crore. Profit after tax (PAT) rose 10.8% YoY to ₹131.4 crore.

The update was issued from Hyderabad, with the company stating that the Audit Committee reviewed the results and the Board approved them on January 22, 2026. The company also highlighted a debt-free balance sheet and a cash-heavy position at the end of the quarter.

Key quarterly numbers: growth and margins

Tanla reported EBITDA margin of 17.0% in Q3 FY26, with the company stating an expansion of 54 basis points. Gross margin stood at 27.6% during the quarter. The company attributed quarter-on-quarter gross margin expansion of 100 basis points to sourcing efficiencies across channels and a favourable change in customer mix.

On a sequential basis, Tanla disclosed that revenue grew 3.9% QoQ to ₹1,121 crore. Gross profit rose 7.8% QoQ to ₹309 crore, while EBITDA increased 7.4% QoQ to ₹191 crore. The profit after tax margin for Q3 FY26 was reported at 11.7%.

The company also reported earnings per share (EPS) of ₹9.95 for the quarter.

Auditor’s review: no qualifications flagged

In the auditor’s note included with the unaudited results, Tanla stated that the statutory auditors issued review reports for both standalone and consolidated results with no qualifications, concerns, or issues. The company said the auditors found nothing to indicate material misstatements.

The reports also noted that some subsidiaries and a branch were not reviewed by auditors, but were considered not material to the group. Overall, the auditor’s remarks were described as standard boilerplate with unmodified conclusions.

Consolidated P&L snapshot for Q3 FY26

The consolidated financial statements showed total income (revenue plus other income) of ₹1,129.0 crore in Q3 FY26, including other income of about ₹8.0 crore. Total expenses were ₹964.2 crore, leading to profit before tax (PBT) of ₹164.8 crore.

Current tax expense for the quarter was ₹33.6 crore, while the company’s PAT for Q3 FY26 was reported at ₹131.4 crore.

Segment performance: enterprise communications remains the core

Tanla reported revenue growth in both its operating segments. Enterprise Communications remained the larger business, while Digital Platforms contributed a smaller but growing share.

Digital Platforms revenue was ₹101.6 crore in Q3 FY26 versus ₹98.4 crore in Q2 FY26 and ₹95.5 crore in Q3 FY25. Enterprise Communications revenue was ₹1,019.4 crore in Q3 FY26 versus ₹980.1 crore in Q2 FY26 and ₹904.9 crore in Q3 FY25.

The company also disclosed that Enterprise Communications gross margin was 20.5% in Q3 FY26.

Cash, liquidity, and free cash flow conversion

Tanla ended Q3 FY26 with cash and cash equivalents of ₹938.7 crore. Free cash flow (FCF) was ₹136.8 crore, with the company highlighting 104% conversion of PAT into free cash flow. The company positioned this as evidence of efficient cash generation.

The management commentary reiterated that the balance sheet remains debt-free. Tanla also stated that its cash number is post dividend payout.

What management said drove the quarter

Uday Reddy, Founder Chairman and CEO, said the quarter marked a milestone, with revenue crossing ₹1,100 crore for the first time and growth delivered across key financial metrics. In the supporting summary provided with the results, the company cited Wisely.ai, the MaaP platform, and OTT channels as key growth drivers.

The company’s disclosures also pointed to channel sourcing efficiencies and customer mix as contributors to the quarter’s margin profile.

Nine-month performance up to December 2025

For the nine months ended December 31, 2025, Tanla reported revenue from operations (net) of ₹3,240.2 crore and total income of ₹3,269.1 crore. Net profit for the nine-month period was ₹374.8 crore.

In the separate earnings summary cited alongside the quarterly release, basic EPS for the nine months was reported at ₹28.19 and diluted EPS at ₹28.06.

Key numbers table

Analysis: what stands out from the release

The Q3 FY26 release shows Tanla growing gross profit and EBITDA faster than revenue, which aligns with the company’s stated improvement in gross margin and EBITDA margin. With gross margin at 27.6% and EBITDA margin at 17.0%, the quarter points to operating leverage as revenue expanded.

The segment split also indicates that Enterprise Communications continues to determine overall performance due to its size, while Digital Platforms shows steady sequential growth. The company’s emphasis on cash generation, including FCF at 104% of PAT and cash balances of ₹938.7 crore, reinforces the liquidity position it highlighted as part of its “debt-free” narrative.

Conclusion

Tanla Platforms’ Q3 FY26 results reflected 12.1% YoY revenue growth to ₹1,121 crore, with gross profit, EBITDA, and PAT also rising year-on-year. The company reported improved margins, strong free cash flow conversion, and cash and cash equivalents of ₹938.7 crore.

The unaudited results were approved by the Board on January 22, 2026, and the statutory auditor reviews were reported as unmodified, with no qualifications or concerns flagged.