Sagility India, a leading name in technology-enabled business and healthcare solutions, reported outstanding growth in the second quarter. Sagility India Q2 FY26 financial result reports a 25.2% year-on-year revenue growth and an 84% rise in adjusted PAT — a testament to its strong execution and strategic agility.
Sagility India Q2 FY26 Results: Strong Growth Across the Board
Sagility India Q2 and H1 FY26 results reported:
- Revenue of INR 1,658.5 crore (USD 189.4 million), a 25.2% YoY rise (20% in constant currency).
- Organic revenue growth stood at 16% YoY (11.1% in constant currency).
- Adjusted EBITDA reached INR 43.52 crore (USD 49.8 million), up 25.6% YoY, translating to a margin of 26.2%.
- Adjusted PAT surged 84% YoY to INR 301.0 crore (USD 34.5 million), with a profit margin of 18.1%.
- Net profit more than doubled to INR 250.8 crore, a 113.8% jump from INR 117.3 crore a year earlier.
- Earnings per share (EPS) grew 113.8% YoY to INR 0.54; adjusted EPS stood at INR 0.64, up 84%.
For Sagility India H1 FY26 results:
- Revenue stood at INR 3,197.4 crore, marking a 25.5% YoY increase (21.4% in constant currency).
- Adjusted EBITDA grew 26% YoY to INR 803.9 crore, with a margin of 25.1%.
- Adjusted PAT rose 62.4% YoY to INR 500.7 crore, with a 15.7% margin.
- H1 Basic EPS improved to INR 0.85, up 178.3% YoY, while Adjusted EPS rose 58% to INR 1.07.
Dividend & Balance Sheet Strength
The company declared a dividend of INR 0.05 per share for FY26. The record date has been set for 12 November 2025, and payouts are expected by 28 November 2025.
Management highlighted that Sagility continues to maintain a strong balance sheet with healthy operating cash flows and is progressively reducing debt.
Operational Metrics & Workforce Expansion
Sagility’s operational footprint expanded steadily:
- Employees: 44,185 as of Q2 FY26, up 15.1% YoY.
- Global Presence: 34 delivery centers across 5 countries — India, the U.S., the Philippines, Jamaica, and Colombia.
- Client Portfolio: 82 active client groups (up from 75 in FY25), with 9 new client additions in H1.
- Client concentration has improved, with the top 3 clients contributing 63.1% of revenues versus 66.2% in FY25, indicating diversification.
The company also secured USD 34 million (~INR 300.8 crore) in new Annual Contract Value (ACV) wins during the quarter, driven by consulting-led engagements and digital transformation initiatives.
Management Commentary: Confidence in Sustained Momentum
Ramesh Gopalan, Managing Director and Group CEO, emphasized the company’s adaptability in a shifting healthcare landscape:
“Our performance through the first half of FY26 underscores Sagility’s ability to sustain healthy growth in a changing marketplace. As clients face profitability pressures, we are leveraging domain expertise and AI-driven process transformation to deliver measurable cost savings.”
He further noted that the company’s deals are increasingly outcome-based, focusing on automation and transformation-driven efficiencies.
Sarvabhouman Srinivasan, Group Chief Financial Officer, added:
“Our margin profile continues to be robust, alongside strong growth. Disciplined cost management and operational efficiencies have bolstered profitability. We’re maintaining a healthy balance sheet while investing in AI capabilities and a future-ready healthcare workforce.”
Strategic Direction: AI, Automation, and Digital Expansion
Sagility is implementing a digital-first strategy centred on:
- Consulting-led service models to enhance client value.
- AI-enabled automation and analytics for measurable cost efficiencies.
- Scalable digital delivery and offshore optimisation to drive profitability.
- Expansion into high-value healthcare outsourcing opportunities.
The company’s vision is to become the leading AI-ready, healthcare-centric operations partner for U.S. payers and providers, serving five of the top ten U.S. health insurers.
Final Words
Sagility India H1 FY26 results signal a well-executed growth strategy blending operational efficiency, AI-driven transformation, and client diversification. The doubling of profits and sustained margin improvement, combined with expanding global delivery capacity, place the company in a strong position to capitalise on the digital transformation wave in U.S. healthcare services.
The INR 300 crore in fresh contract wins and continued investments in automation indicate visibility of growth into FY26’s second half. With a leaner debt profile and healthy cash generation, Sagility remains one of the more promising mid-cap tech-enabled healthcare service firms on the Indian bourses.
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