Tanla Q1 FY27: Growth continues as margins ease on mix

Revenue from operations (net) was 12,264 Mn in Q1 FY27, up 17.8% YoY and 4.1% QoQ.

EBITDA was 2,012 Mn (up 22.7% YoY) and PAT was 1,422 Mn (up 20.1% YoY) in Q1 FY27.

Digital Platforms revenue was 1,031 Mn (8.4% of total) and Enterprise Communications revenue was 11,233 Mn (91.6% of total) in Q1 FY27.

Overall gross margin was 26.6% in Q1 FY27. Digital Platforms operated at about 98.5% gross margin and Enterprise Communications at about 20.0% gross margin.

Free cash flow was 1,259 Mn in Q1 FY27, which the company states is 89% of PAT. Operating cash flow was 1,556 Mn.

Cash balance was stated at 11,970 Mn, including liquid fund investments and fixed deposits with maturity greater than 12 months.

DSO increased to 79 days in Q1 FY27 from 76 days in Q4 FY26.