ESDS Software Solution posts 48% revenue growth in second quarter
Cloud and AI provider ESDS Software Solution reported a net profit of ₹31.1 crore for the second quarter of fiscal year 2027, marking a 41% year-on-year increase.
ESDS Software Solution recorded a consolidated net profit of ₹31.1 crore for the September quarter of fiscal year 2027, up from ₹22.1 crore in the same period last year. Operating revenue rose 48% year-on-year to ₹138.3 crore, while sequential growth showed a 4% increase in the top line compared to the first quarter.
EBITDA for the period reached ₹57.8 crore, representing a margin of 41.8%. The company noted that it incurred ₹2.3 crore in marketing and advertising expenses related to a planned IPO. When adjusted for these one-time expenses, EBITDA would have reached ₹60.1 crore.
Revenue distribution remained anchored by Infrastructure-as-a-Service (IaaS), which accounted for 50.5% of the total, followed by managed services at 31.2% and software-as-a-service (SaaS) at 18.3%. The company maintains a strong reliance on recurring business, with 86.7% of quarterly revenue generated from existing customers.
Quarter-on-quarter, the company saw steady growth, with net profit rising by 6.2% from the ₹29.3 crore recorded in Q1 FY27.