eClerx Services Limited announced its financial results for the second quarter of fiscal year 2027, reporting a 10.6% year-on-year increase in operating revenue to USD 127.7 million. The company highlighted continued sequential revenue expansion for the 13th consecutive quarter, alongside sustained margins and strategic investments in AI and technology capabilities. EBITDA margin improved sequentially by 90 basis points to 23.9%.
eClerx Reports Q2 FY27 Financial Highlights
eClerx Services Limited has announced its financial results for the second quarter of fiscal year 2027, demonstrating consistent growth and strategic investment. The company’s operating revenue reached USD 127.7 million, marking a 10.6% increase year-on-year and a 12.9% rise in constant currency. This achievement represents the 13th consecutive quarter of sequential revenue expansion, underscoring the resilience of its operating model.
Revenue and Profitability
In INR terms, the company’s revenue grew by 18% year-on-year to INR 11,887 million. Operating EBITDA stood at INR 2,839 million, with a margin of 23.9%, a sequential improvement of 90 basis points attributed to disciplined cost control and operational enhancements. Profit After Tax (PAT) was INR 1,804 million, reflecting a 14.9% margin. Despite investments in new locations and technology, the first half EBITDA margin remained strong.
Deal Wins and Growth Drivers
New deal wins for the quarter amounted to USD 31 million. The company noted that clients are becoming more selective, with longer decision cycles as spending shifts towards AI-related investments. The Analytics and Automation segment showed robust growth, increasing 27% year-on-year and now contributing approximately 20% of the company’s revenue, with an annual run rate of about USD 109 million.
Segment Performance and Future Outlook
Emerging businesses now account for 12.6% of revenue, driven by offerings like FinOps. The Hi-tech and M&D segments continue to see traction, particularly driven by AI and transformation services. Technology and Analytics growth reflects ongoing investments in AI capabilities, with over 280 employees now Claude AI certified. The company highlighted awards for talent and customer experience, and recognition as a Great Place to Work in India.
eClerx reported an increase in its client base, with 25 clients now above USD 3 million in revenue, up from 20 a year ago. The outlook remains cautiously optimistic, with momentum in emerging business and Hi-tech, though some BFSI accounts face volume pressure. The company is focused on disciplined cost management and cash conversion.
Source: BSE
