AI and advanced analytics company Fractal reported a 109% year-on-year jump in net profit to ₹115.8 Cr in the fourth quarter of FY26, up from ₹55.5 Cr in the same period a year earlier. Profit also rose 15.7% from ₹100.1 Cr in the preceding quarter.
Revenue from operations grew 17% year-on-year to ₹886.3 Cr in Q4 FY26, compared to ₹757.5 Cr in Q4 FY25. Quarter-on-quarter, revenue edged up 3.7% from ₹854.4 Cr in Q3 FY26.
Fractal attributed the profit improvement to growing revenues, expanding margins, and strong demand in the healthcare and life sciences and BFSI segments. Gross margins improved 47 basis points year-on-year to 48.2%, while adjusted EBITDA margin rose 189 basis points year-on-year to 22%.
Expenses also increased during the quarter, rising 12% year-on-year to ₹755.6 Cr from ₹674.6 Cr in Q4 FY25, in line with the growth in revenue.
Fractal cofounder and group CEO Srikanth Velamakanni said the company “wrapped up FY26 on a strong note, with robust revenue and profit growth while delivering AI-led transformation for our clients.”
The results suggest Fractal’s focus on the healthcare, life sciences, and BFSI verticals may be contributing to sustained margin improvement, with both gross and EBITDA margins expanding on a year-on-year basis in the quarter.
Source: Inc42 Media