Firstsource Solutions achieved a milestone in FY26, crossing $1 billion in annual revenue. The company reported a 19.5% YoY revenue growth for Q4 and a healthy 19.7% growth for the full year. Driven by its ‘Intelligence that operates’ strategy, the company is successfully leveraging AI-enabled operations and deep domain expertise to secure large deals and expand its global footprint while maintaining steady margin expansion.
Financial Highlights
Firstsource Solutions demonstrated robust financial performance in Q4 FY26, recording INR 25.8 billion in revenue, marking 19.5% YoY growth. The company also achieved its sixth consecutive quarter of EBIT margin expansion, reporting 12.2% for the quarter. For the full FY26, total revenues reached INR 95.6 billion, representing a 19.7% increase in rupee terms and 13.6% in constant currency terms.
Strategic Growth and ‘Intelligence that operates’
The company continues to pivot toward its ‘Intelligence that operates’ framework, moving beyond traditional BPO models to provide end-to-end outcome-based services. This evolution has resulted in a strong deal pipeline, with over $1 billion in value. In FY26, Firstsource secured 17 large deals and added 47 new clients, including 24 strategic logos, effectively doubling their strategic additions from the previous year.
Operational Performance and Vertical Insights
Across key verticals, the Banking and Financial Services segment saw 9% YoY growth, while Healthcare grew by 16% YoY in constant currency terms. Despite some temporary timing impacts in the healthcare payer market, the underlying demand for AI-driven transformation remains strong. The company also reported improved workforce stability, with attrition dropping to 29.7% over the past eight quarters.
Outlook for FY27
Looking ahead to FY27, the management team has provided a positive growth guidance of 10% to 13% in constant currency, with an EBIT margin target of 12.25% to 12.75%. Firstsource remains committed to its long-term ambition of reaching an EBIT margin band of 14% to 15% over the next few years, supported by continued investment in specialized talent and AI-led operational efficiency.
Source: BSE
