Fractal Analytics Q4: Profit Jumps 109%, Revenue Rises 17%

Fractal Analytics ended Q4 FY26 on a strong note. This was supported by sharp growth in its healthcare and BFSI businesses. The continued demand for enterprise AI solutions added to the numbers, as well.

The company reported consolidated revenue of ₹886 crore for the March quarter, up 17% from a year ago. Net income came in at ₹116 crore, 109% higher compared to last year’s quarter.

The growing push toward enterprise AI is clearly creating opportunities for companies like Fractal. The results come just a few months after Fractal’s February 2026 IPO. The bigger question now is whether this momentum can continue through FY27.

Which Businesses Drove Fractal’s Growth In Q4?

The Healthcare and Life Sciences (HLS) segment was the biggest growth driver for Fractal in the March quarter. Revenue from the segment rose 82% year-on-year.

The Banking, Financial Services and Insurance (BFSI) business also delivered strong growth, increasing 42% during the quarter. Consumer-Packaged Goods and Retail (CPGR) grew at a relatively moderate pace of 11%.

Not every segment performed well, though. The Telecom, Media and Technology (TMT) vertical declined 19% because of client-specific issues, according to the company.

Fractal’s profitability metrics improved alongside revenue growth. Gross margin expanded by 47 basis points year-on-year to 48.2%. Adjusted EBITDA margin rose by 189 basis points to 22%.

For the full financial year, Fractal reported revenue of ₹3,300 crore, up 19% year-on-year. Net income rose 30% to ₹287 crore.

Europe was the fastest-growing geography for the company, with revenue rising 34%. Revenue from the Americas grew 20%, while APAC revenue slipped 3%.

Also Read - OpenAI Steps Up Enterprise AI Race With $4 Billion Deployment Business

How Did The Stock React And What Did The Management Say?

Shares of Fractal Analytics opened at ₹1,099.70 on 12 May 2026, almost 3.8% higher than the previous close of ₹1,059.80. By around 1:31 PM, the stock was trading at ₹1,056.15.

Commenting on the results, Group CEO Srikanth Velamakanni said the company saw strong revenue and profit growth while continuing to help clients adopt AI across business functions.

He also pointed to a broader industry shift. AI systems are becoming more capable and cheaper to deploy, making enterprise adoption easier than before.

Fractal said it continues to invest aggressively in AI research and development, allocating more than 6% of annual revenue toward R&D initiatives.

Going forward, markets will likely watch whether the company can maintain its margin profile and sustain growth in high-performing verticals like healthcare and BFSI. Recovery in the TMT business may also remain an important factor in the coming quarters.

Source:

Fractal - Press Release