ESDS Software Solution LimitedInformation TechnologyESDS
Q1 FY27 concall · earnings callESDS Software Solution Limited
Q1 FY27 delivered steady growth with revenue from operations of INR 133.66 crores up 7.28% year-over-year and profit after tax of INR 29.28 crores while advancing sovereign cloud products and GPU-based AI factory deployments.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue from operations | ₹133.66 Cr | +7.28% year-over-year | |
| Profit after tax | ₹29.28 Cr | +14% | |
| EBITDA | ₹55.9 Cr | — | |
| EBITDA margin | 42% | — |
TL;DR
- Revenue from operations was INR 133.66 crores, up 7.28% year-over-year, but down by 20.20% versus Q4 fiscal year 2026 due to design services revenue recorded in a subsidiary during Q4 fiscal year 2026.
- Profit after tax was INR 29.28 crores, up 14%, with EBITDA of INR 559 million at 42% margin.
- Q1 FY27 revenue split was 51% Infrastructure-as-a-Service, 31.31% Managed Services and 17.55% Software-as-a-Service, with GPU revenue classified under Infrastructure-as-a-Service.
- Sharon AI Sydney deployment of 8,200 GPUs was delayed to early or mid of Q3 with revenue from Q3 FY27, while owned capacity target is around 1,500 GPUs by January or February.
Said on the call
“Our preference has always been to give everything combined to the customer, so that the customer is fully dependent on us.”
From the Q&A
| Topic | What management said |
|---|---|
| Segment mix and economics | Management described three offerings as Infrastructure-as-a-Service, Software-as-a-Service and Managed Services, with Q1 FY27 split of 51% IaaS, 31.31% Managed Services and 17.55% SaaS, and said GPU revenue is classified under Infrastructure-as-a-Service. |
| Sharon AI Sydney deployment | Management said September deployment was postponed by almost a month and revenue will start from Q3 FY27, targeting early or mid of Q3 and November first week for 8,200 B300 GPUs under a contract locked for 7 years, with targeted PAT margins of 15% to 20%. |
| GPU pipeline and capex | Management cited a funnel of more than 50,000 GPUs, a target to deploy around 1,500 GPUs by January or February or Mid of Q4 or end of Q4, and around INR1,500 crores of capex in FY27 funded by customer advance, IPO proceeds and partial debt. |
| Domestic order book and one-off revenue | Management cited domestic order book of around INR3,000 crores for 3 years with domestic CAGR of 30% to 40%, said Q1 revenue was down by 20.20% versus Q4 fiscal year 2026 due to technical design services recorded in a subsidiary in Q4, and said the shift will be towards IaaS revenue from Q3 FY27. |
Guidance
- Sharon AI Sydney AI factory expected to go live early or mid of Q3 with revenue from Q3 FY27 onwards
- Target PAT margins in the range of 15% to 20% on AI factory deals
- Target to deploy around 1,500 GPUs by January or February with billing from Q1
- Target around INR1,500 crores of capex in FY27 funded through customer advance, IPO proceeds and partial debt
- No full-year revenue or profitability guidance to be disclosed; actuals to be reported quarter-on-quarter
Source
Summary written from the transcript filed by ESDS Software Solution Limited for the call held on 25 Sept 2026; published 12 Oct 2026, 18:15 IST.
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