Revenue declined 17.7% to ₹2,536.2 crore from ₹3,080.6 crore on a quarter-on-quarter basis. Earnings before interest and taxes (EBIT) increased 5.6% to ₹183.3 crore versus ₹173.7 crore in the previous quarter. EBIT margin stood at 7.2% compared with 5.6% quarter-on-quarter.
In international IT services, revenue for FY26 stood at ₹2,948.0 crore, up 4.2% year-on-year, while Q4FY26 revenue came in at ₹779.2 crore, up 5.5% quarter-on-quarter. In US dollar terms, FY26 revenue was $328.4 million, while Q4FY26 revenue stood at $82.4 million, flat sequentially and up 1.3% year-on-year. In constant currency terms, Q4 revenue rose 0.6% quarter-on-quarter and 1.1% year-on-year.
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EBITDA (before other income, forex and exceptional items) in international IT services stood at ₹543.7 crore for FY26, up 13.1% year-on-year, while Q4FY26 EBITDA was ₹157.4 crore, up 9.3% quarter-on-quarter. PAT in this segment stood at ₹292.7 crore for FY26, up 18.7% year-on-year, while Q4FY26 PAT was ₹84.2 crore, up 40.6% quarter-on-quarter.
Efficiency metrics showed improvement, with DSO (days sales outstanding) at 64 days in Q4FY26 versus 71 days in Q3FY26. Return on capital employed (RoCE) stood at 24.5% compared with 18.7% in the previous quarter, while RoNW (return on net worth) increased to 30.3% from 23.1%.
In domestic products & services, revenue for FY26 stood at ₹7,772.1 crore, up 5.9% year-on-year, while Q4FY26 revenue was ₹1,759.2 crore. Gross contribution for FY26 was ₹288.7 crore, down 3.5% year-on-year, while Q4 stood at ₹75.3 crore, down 1.1% quarter-on-quarter.
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EBITDA in the segment stood at ₹197.9 crore for FY26, down 5.2% year-on-year, while Q4FY26 EBITDA was ₹51.2 crore, down 8.8% quarter-on-quarter. PAT stood at ₹171.7 crore for FY26, down 3.6% year-on-year, while Q4FY26 PAT was ₹46.3 crore, up 3.9% quarter-on-quarter. DSO stood at 47 days in Q4FY26 versus 42 days in Q3FY26. RoCE was 43.5% compared with 43.1% in Q3, while RoNW stood at 39.0% versus 41.8% in the previous quarter.
On a consolidated basis, revenue for FY26 stood at ₹10,701.2 crore, up 5.4% year-on-year, while Q4FY26 revenue was ₹2,536.2 crore. EBITDA for FY26 was ₹741.3 crore, up 7.5% year-on-year, while Q4FY26 EBITDA was ₹208.7 crore, up 4.2% quarter-on-quarter. Consolidated PAT stood at ₹464.4 crore for FY26, up 9.3% year-on-year.
Cash and cash equivalents stood at ₹605.5 crore (gross) and ₹30.7 crore (net). RoCE improved to 28.1% in Q4FY26 from 23.3% in Q3FY26, while RoNW rose to 32.5% from 27.7%.
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The company’s board has recommended a final dividend of ₹4.15 per equity share, equivalent to 415% on a face value of ₹1, for the financial year ended March 31, 2026. The dividend is subject to shareholder approval at the ensuing annual general meeting (AGM).
Sonata Software said the dividend, if approved, will be dispatched or credited within 30 days from the date of the AGM. The company added that the date of the 31st annual general meeting will be announced in due course.
Rajsekhar Datta Roy, CEO-designate of Sonata Software, said: “We won 2 large deals in Q4’26 and remain confident in Sonata’s growth momentum, by becoming the strategic partners to our clients to enable the AI modernisation journey. We will continue to invest in AI capabilities and partnerships to further accelerate our pivot to AI.”
Sujit Mohanty, MD & CEO of Sonata Information Technology Ltd, said: “This quarter, we achieved strong performance in our core cloud platform offerings. We successfully acquired new clients for our cloud services and data protection solutions business areas. We realised YoY growth from key accounts.”
Shares of Sonata Software Ltd ended at ₹271.65, up by ₹2, or 0.74%, on the BSE today, May 7.
