Datamatics Q2 FY27: Consolidated PAT +16% YoY to ₹73.6 Cr, margin expands

Datamatics' consolidated revenue rose 11.5% YoY (6.4% QoQ) to ₹546.64 Cr in Q2 FY27, ahead of management's FY27 guidance of high-single-digit (7-9%) growth given on the Q1 call. Consolidated PAT grew 16.1% YoY (1.7% QoQ) to ₹73.58 Cr, with basic EPS at ₹12.42 versus ₹10.70 a year ago. There is no exceptional item in either this quarter or the year-ago quarter, so reported and underlying growth are identical. No broker consensus for this print could be located (Datamatics has thin sell-side coverage), so the result cannot be benchmarked against a street number; management gave no explicit PAT guidance either, only the revenue/margin targets noted above.

The growth was driven by operating leverage in Digital Operations, the largest segment: revenue there rose 15.6% YoY to ₹314.93 Cr while segment profit jumped 50.8% YoY to ₹68.57 Cr. Across the group, total segment operating profit grew 33.8% YoY to ₹92.19 Cr (16.9% of revenue, up from 14.1% a year ago and 15.3% last quarter) — margin expansion tracking toward the 19-20% EBITDA band with 50 bps annual improvement management guided to. Digital Technologies grew revenue 8.8% YoY but its segment profit fell 4.1% YoY, a mix drag worth watching. That operating gain did not fully reach the bottom line: finance costs rose 55.5% YoY to ₹6.33 Cr as consolidated borrowings increased to ₹248.97 Cr at quarter-end from ₹141.36 Cr at FY26-end, and the effective tax rate ticked up to 23.2% from 21.3% a year ago — together trimming PBT growth of 19.0% YoY down to 16.1% at PAT.

The stock went into the print at ₹741.9, down 6.1% over the past month of trading.

For context: this is the highest quarterly PAT in the last 6 quarters on our records; PAT has now risen for 3 consecutive quarters; revenue is at a 6-quarter high.

Standalone PAT, by contrast, fell 47.3% YoY to ₹23.41 Cr, because standalone other income (largely dividends from subsidiaries) dropped to ₹21.72 Cr from ₹37.00 Cr a year ago — a holding-company timing effect rather than an operating signal; the consolidated numbers are the more representative read on the business. During the quarter the company appointed Dr. Rajesh Gharpure as President & COO (Oct 16, 2026) and signed new AI-linked engagements, including support for Prometric's remote exam operations and an AI voice agent deal with a US pet-care company — both consistent with the Digital Operations growth seen this quarter. No management press release/commentary on this result was available to cross-check against the numbers above.