Coforge share price plunges 9% even as IT firm doubles its Q1 profit
Coforge said its Q1 profit after tax came in at Rs 317 crore for the June quarter. HSBC anticipated Coforge's profit at Rs 292.60 crore but Kotak had expected the profit figure to come in at Rs 360.90 crore.
- Jul 24, 2025,
- Updated Jul 24, 2025 11:19 AM IST
Shares Coforge Ltd tanked 9 per cent in Thursday's trade on profit booking, as the IT firm met analyst estimates on June quarter results. The stock, which was up 46 per cent from April low, plunged 8.92 per cent to hit a low of Rs 1,684 apiece on BSE.
Coforge said its Q1 profit after tax came in at Rs 317 crore for the June quarter, up 21.5 per cent on a sequential basis and 138.4 per cent on a year-on-year (YoY) basis. HSBC anticipated Coforge's profit at Rs 292.60 crore but Kotak had expected the profit figure to come in at Rs 360.90 crore. The profit came at par with InCred Equities' Rs 317.40 crore projection.
Coforge said its sales for the quarter came in at Rs 3,689 crore, up 56.5 per cent YoY. Anlaysts were expecting 40-55 per cent year-on-year (YoY) surge in sales.
Coforge reported an 8.2 per cent sequential increase in revenue in rupee terms, 9.6 per cent in dollar terms, and 8 per cent in constant currency (CC) terms for the June quarter. The EBITDA margin rose by 61 basis points quarter-on-quarter to 17.5 per cent.
The company secured $507 million in order wins during the quarter, taking its executable order book for the next twelve months to $1.55 billion, a 46.9 per cent year-on-year increase. Coforge signed five large deals across North America, the UK, and the APAC region.
Coforge’s headcount stood at 34,187, reflecting a net addition of 1,164 employees during the quarter. The attrition rate was steady at 11.3 per cent, among the lowest in the industry.
Sudhir Singh, Chief Executive Officer and Executive Director, said the 9.6 per cent sequential dollar growth in Q1, coupled with a 46 per cent year-on-year rise in the next twelve-month order book, a robust large-deal pipeline, and a clear path to 14 per cent EBIT in FY26, point to what he expects will be an “exceptional fiscal 2026.”
“We remain committed to sustaining an execution intensity that is uniquely our own and delivering a ninth consecutive year of sustained and robust growth. Our industry is pivoting, and AI is the biggest transformation lever of our times,” he said.
Coforge continues to integrate AI into business-critical infrastructure—from legacy modernization to autonomous operations, he added.
The Coforge board of directors declared an interim dividend of ₹4 per share for FY2025-26. July 31 has been set as the record date to determine the eligibility of shareholders for the dividend.
Shares Coforge Ltd tanked 9 per cent in Thursday's trade on profit booking, as the IT firm met analyst estimates on June quarter results. The stock, which was up 46 per cent from April low, plunged 8.92 per cent to hit a low of Rs 1,684 apiece on BSE.
Coforge said its Q1 profit after tax came in at Rs 317 crore for the June quarter, up 21.5 per cent on a sequential basis and 138.4 per cent on a year-on-year (YoY) basis. HSBC anticipated Coforge's profit at Rs 292.60 crore but Kotak had expected the profit figure to come in at Rs 360.90 crore. The profit came at par with InCred Equities' Rs 317.40 crore projection.
Coforge said its sales for the quarter came in at Rs 3,689 crore, up 56.5 per cent YoY. Anlaysts were expecting 40-55 per cent year-on-year (YoY) surge in sales.
Coforge reported an 8.2 per cent sequential increase in revenue in rupee terms, 9.6 per cent in dollar terms, and 8 per cent in constant currency (CC) terms for the June quarter. The EBITDA margin rose by 61 basis points quarter-on-quarter to 17.5 per cent.
The company secured $507 million in order wins during the quarter, taking its executable order book for the next twelve months to $1.55 billion, a 46.9 per cent year-on-year increase. Coforge signed five large deals across North America, the UK, and the APAC region.
Coforge’s headcount stood at 34,187, reflecting a net addition of 1,164 employees during the quarter. The attrition rate was steady at 11.3 per cent, among the lowest in the industry.
Sudhir Singh, Chief Executive Officer and Executive Director, said the 9.6 per cent sequential dollar growth in Q1, coupled with a 46 per cent year-on-year rise in the next twelve-month order book, a robust large-deal pipeline, and a clear path to 14 per cent EBIT in FY26, point to what he expects will be an “exceptional fiscal 2026.”
“We remain committed to sustaining an execution intensity that is uniquely our own and delivering a ninth consecutive year of sustained and robust growth. Our industry is pivoting, and AI is the biggest transformation lever of our times,” he said.
Coforge continues to integrate AI into business-critical infrastructure—from legacy modernization to autonomous operations, he added.
The Coforge board of directors declared an interim dividend of ₹4 per share for FY2025-26. July 31 has been set as the record date to determine the eligibility of shareholders for the dividend.