Firstsource Solutions Limited announced its Q3FY26 results, reporting a 16.2% year-on-year (YoY) revenue growth in rupee terms, reaching ₹24.4 billion (US$274 million). In constant currency, revenue grew 10.6% YoY. The company also achieved its fifth consecutive quarter of margin expansion, with EBIT margin at 11.9%, an 80 basis points YoY increase. Net profit, adjusted for exceptional items, stood at ₹2 billion, with diluted EPS at ₹2.87. During the quarter, Firstsource signed five large deals, including engagements with a US-based on-demand manufacturing marketplace, a leading UK-based MVNO, and a global online fashion retailer. The company added nine new logos, five of which were strategic. The banking and financial services vertical grew 9% YoY, driven by demand for regulatory adherence, customer experience, and cost efficiency, with strong client interest in AI automation and data-driven transformation. The healthcare vertical grew 6% YoY, with dedicated leadership roles created for payer and provider segments to address distinct needs. The Communications, Media, and Technology (CMT) vertical saw a 14% YoY revenue growth, driven by deepening engagements with consumer tech companies and AI-integrated solutions. The diverse portfolio, including utilities and retail clients, grew 21% YoY. Geographically, North America showed 13% YoY growth, Europe grew 14% QoQ, and Australia saw continued business wins. Firstsource also announced an interim dividend of ₹5.5 per share. The company raised its FY26 constant currency revenue growth guidance to 14.5%-15.5% (including acquisitions) and its EBIT margin guidance to 11.5%-12%. The company's headcount increased to 36,689, with attrition trending down to 27.4%. Notable recognitions include being named a 'Leader' by NelsonHall, Everest Group, and ISG for various services, and achieving a high ESG score from S&P Global.
