Birlasoft Ltd. (BSE: BIRLASOFT) pushed 10% higher to ₹341.45 on Oct 29, its steepest single‑day jump since May 2021. The rally followed a quarterly report that showed revenue of ₹3,260 cr, outpacing the ₹3,200 cr consensus and a 2.1% sequential lift.
Constant‑currency revenue grew 2.1% YoY, but dipped 1.1% year‑over‑year. The company posted a $116 m total contract value, 31% lower than Q1 yet 8% up from FY‑2025. Net‑new deals hit $47 m, down 17.5% quarter‑on‑quarter but up 17.5% from the year‑ago period.
EBITDA margin settled at 15.2%, up 90 bps from 14.3% in Q1. Wage hikes trimmed the margin by ~170 bps, while a 10% rise in AI‑generated code helped cushion the hit. Management reiterated its aim to keep margins in the 15% range.
During the earnings call, CEO Suresh K. said the second half of FY27 is likely to outperform the first, citing steady demand. The market now prices in a potential upside for the rest of the year, though the stock remains down 23% YTD.