Expleo Solutions Q1 FY27: consolidated PAT up 67% YoY on margin gains, down 18% QoQ

Expleo Solutions' consolidated Q1 FY27 (quarter ended June 30, 2026) revenue rose 12.3% YoY to ₹291.55 Cr (₹259.65 Cr a year ago), while consolidated PAT jumped 67.3% YoY to ₹34.18 Cr (₹20.43 Cr in Q1 FY26); EPS came in at ₹22.02 versus ₹13.16. Neither period carried exceptional items, so the YoY comparison is clean. Profitability outgrew revenue: OPM expanded to 14.53% from 11.45% and NPM to 11.45% from 7.66% a year earlier, aided by a lower effective tax rate (22.7% versus 28.0% in Q1 FY26). Sequentially, though, growth moderated: revenue was up just 1.8% QoQ and PAT fell 18.0% from ₹41.67 Cr in Q4 FY26, with OPM easing from 15.65% and NPM from 13.94%. Two factors explain the QoQ dip — Q4 FY26 carried a ₹2.06 Cr exceptional gain (Impact of New Labour Codes) that is absent this quarter, and other expenses rose to ₹62.55 Cr from ₹55.52 Cr even as revenue grew only modestly, pressuring the operating line. Standalone and consolidated tell different growth stories: standalone (India) PAT nearly doubled YoY (+97.3% to ₹29.14 Cr) on 15.5% revenue growth, while the combined overseas subsidiaries' revenue fell roughly 6.5% YoY and their profit contribution eased to ₹5.04 Cr from ₹5.66 Cr — consolidated PAT growth of 67.3% trails standalone because the overseas book is shrinking even as the India business scales. Management gives no formal guidance on record, and no analyst consensus estimates for this quarter turned up in a web search, so vs-guidance and vs-street are both unknown. Concurrently, the board recommended a ₹110/share final dividend for FY26 (approval due at the August 26, 2026 AGM) and incorporated a new GIFT IFSC subsidiary in India on June 14, 2026, which has yet to commence operations; separately, KMP Saket Newaskar's last working day was set for August 1, 2026, a management transition disclosed this quarter but unconnected to these numbers. The quarter sets up two things to track into Q2 FY27: whether the overseas subsidiary revenue decline reverses — it is the swing factor holding consolidated growth below standalone growth — and whether the QoQ rise in other expenses was one-off or a new run-rate.