Firstsource Q2FY27: 10th straight double-digit quarter, PAT +29.7% YoY, guidance raised

Firstsource's consolidated revenue for Q2 FY27 came in at ₹2,825.6 Cr (US$296 million), up 22.2% YoY and 3.7% QoQ — the company's tenth consecutive quarter of double-digit YoY growth. Consolidated PAT (owners' share) was ₹232.8 Cr, up 29.7% YoY, at an 8.2% net margin, with diluted EPS of ₹3.31. EBIT came in at ₹352.1 Cr, 12.5% of revenue, up a sharper 32.1% YoY — profit growing faster than revenue and marking the company's eighth straight quarter of margin expansion. QoQ, PAT jumped 40.3% from ₹165.9 Cr, but that comparison is flattered by base effects: Q1 FY27 carried a one-off exceptional charge of ₹71.7 Cr pre-tax (₹56.3 Cr net of tax) that Q2 didn't repeat, so the cleaner sequential read is the 3.7% revenue growth. On the YoY lens — the primary one here — the comparison period (Sep'25) had its own small ₹1.9 Cr exceptional gain; stripping that from both sides still leaves adjusted PAT growth around 31%, essentially matching the 29.7% reported figure since the item was immaterial relative to the ₹243 Cr quarterly PBT base. Management raised the lower end of its FY27 constant-currency revenue growth guidance to 10.5-13% (from 10-13%) while holding the EBIT margin band at 12.25-12.75% — Q2's 12.5% print sits comfortably within that band, resolving the margin watch item flagged ahead of this result ("can the company hold 12.25% in Q2?"). Reported YoY growth of 22.2% runs well ahead of the CC guidance band, though the two aren't directly comparable since CC strips out FX translation. Against Street, FY27 consensus pegs revenue near ₹11,180 Cr and — after at least one brokerage cut estimates roughly 7% on growth concerns — PAT near ₹908 Cr; Firstsource's H1 run-rate annualizes to roughly ₹11,165 Cr revenue and ~₹910 Cr adjusted PAT (H1 adjusted PAT was ₹455.1 Cr), tracking in line with both. Deal momentum underpinned the print: four large deals (two new logos) for a seventh consecutive quarter, 17 new logos including six strategic accounts, and headcount up a net 3,062 to 39,937 (28.4% voluntary attrition). Chairman Sanjiv Goenka's commentary cited "twelve consecutive quarters of sequential growth and eight consecutive quarters of margin expansion" and framed the business as reshaping "around technology-led solutions" through the Kairos platform — consistent with the margin trajectory and new-logo mix reported this quarter. Standalone (the India entity alone) posted PAT of ₹199.4 Cr on total income of ₹929.2 Cr, a fraction of consolidated scale since the bulk of client billing runs through overseas subsidiaries — not a like-for-like read on group performance, but directionally consistent with the growth story.