eMudhra has announced its financial results for the second quarter and half-year ended September 30, 2026. The company reported a total income of ₹2,093 million, marking a 19.6% year-on-year growth. Net profit stood at ₹334 million, a 26.3% increase. The presentation also addressed a recent certificate security incident, detailing its scope and expected minimal impact on revenue.
eMudhra Announces Q2 FY27 Financial Performance
eMudhra Limited has released its investor presentation detailing the financial results for the second quarter (Q2) and the first half (H1) of the fiscal year 2027, ending September 30, 2026. The company showcased strong financial performance with a significant increase in key metrics.
Key Financial Highlights for Q2 FY27:
- Total Income: ₹2,093 million, a 19.6% increase year-on-year (YoY).
- EBITDA: ₹513 million, up 21.6% YoY, with a margin of 24.5%.
- EBIT: ₹393 million, up 19.7% YoY, with a margin of 18.8%.
- Net Profit: ₹334 million, a substantial 26.3% increase YoY, with a margin of 16.0%.
- Basic EPS (INR): ₹3.99, showing a 29.2% YoY growth.
Adjusted figures for EBITDA, EBIT, and Net Profit also demonstrated robust growth, indicating strong operational performance excluding certain provisioning and interest on acquisition liability.
Revenue Breakdown and Growth Drivers
The company’s revenue from operations for Q2 FY27 reached ₹2,070 million, achieving a 19.6% YoY growth and an 8.8% quarter-on-quarter (QoQ) increase. Revenue from operations has seen a consistent upward trend over the past several quarters. Key contributors to this growth include:
- By Geography: International revenue accounted for 66%, with India contributing 34%.
- By Line of Business: Enterprise Solutions formed the largest segment at 66%, followed by Trust Services (16%) and Services (18%).
- By Segment: Cybersecurity represents 80% of the segment revenue, with Paperless at 20%.
- By Channel: Direct channels accounted for 62% of revenue, while Partner-led channels contributed 38%.
Operational Performance
The financial statements also highlighted healthy operational performance:
- EBITDA trended upwards, reaching ₹513 million in Q2 FY27 with a 24.6% margin.
- EBIT reached ₹393 million in Q2 FY27 with an 18.8% margin.
- PAT (Profit After Tax) stood at ₹334 million in Q2 FY27 with a margin of 16.1%.
Update on Certificate Security Incident
The presentation included an update on a certificate security incident reported on October 17, 2026. An independent researcher identified weak keys in eight intermediate CA certificates. All affected intermediates were revoked on October 18, 2026, and root keys remained unaffected. Browser root programs distrusted the related ECC root as a precaution. Importantly, these intermediate CAs were not used to issue any end-entity certificates.
Actions taken included moving affected TLS customers to replacement certificates at no cost, appointing KPMG as an independent reviewer, and discontinuing publicly trusted SSL/TLS certificate sales due to low ROI.
The expected impact is an estimated revenue decline of approximately 5-6% in H2 FY27. The scope of the incident was limited to TLS certificates chaining to the distrusted root within a single US customer ecosystem. Digital signature certificates and other eMudhra platforms were not affected, and publicly trusted SSL/TLS represented approximately 1% of revenue.
Business Review and Market Direction
eMudhra discussed its lines of business: Trust Services (16% of revenue, -6% YoY), Enterprise Solutions (66% of revenue, 36% YoY), and Services (18% of revenue, 0% YoY). Enterprise Solutions showed significant growth, driven by increasing regulation around post-quantum cryptography, identity management, and data privacy.
The market is heading towards areas like post-quantum readiness, machine-to-machine identity, identity for AI agents, and enhanced data privacy and sovereignty. eMudhra addresses client-side challenges such as complex compliance, limited visibility of risk, and fragmented tooling with its integrated trust stack and proprietary platforms.
The company also highlighted recent product releases and its roadmap, including advancements in post-quantum cryptography and AI-driven solutions. Key project successes were noted across Asia Pacific, Europe, the Middle East, Africa, and CIS regions, demonstrating broad market penetration and diverse client wins.
Financial Statements
The consolidated financial statements include:
- Statement of Profit and Loss: Shows total income of ₹2,093 million for Q2 FY27 and ₹4,018 million for H1 FY27.
- Balance Sheet: Assets: Total Assets stood at ₹12,678 million as of September 30, 2026.
- Balance Sheet: Equity and Liabilities: Total Equity and Liabilities were ₹12,678 million.
- Cash Flow Statement: Net Cash from Operating Activities for H1 FY27 was ₹431 million.
Source: BSE
