Persistent Systems Q3 earnings: Profit rises 18% to Rs 439 crore; announces Rs 22 dividend

IT services firm Persistent Systems on Tuesday reported a consolidated net profit of Rs 439.4 crore for the third quarter ended December 31, 2025, marking a growth of 17.8 per cent compared to the year-ago period. 

The company had posted a net profit of Rs 373 crore in the corresponding quarter of the previous financial year.

Revenue from operations for the reporting quarter stood at Rs 3,778.2 crore, registering a robust growth of 23.4 per cent year-on-year (YoY) from Rs 3,062.3 crore in Q3 FY25. 

The Board of Directors has also rewarded shareholders by declaring an interim dividend of Rs 22 per equity share on the face value of Rs 5 each for the financial year 2025-26.

Earnings before interest and taxes (EBIT) stood at Rs 542.7 crore, reflecting a 19.1 per cent increase from Rs 455.7 crore in the same quarter last year. The EBIT margin for the quarter came in at 14.4 per cent.

The company noted that the operating margins were impacted by a one-off provision. "This was accompanied by an EBIT margin of 16.7%, excluding a one-time impact of 2.3% arising from the New Labour Codes," the company said in its statement.

Sandeep Kalra, Chief Executive Officer and Executive Director, Persistent Systems, said, “achieving our 23rd sequential quarter of revenue growth with 4.0% quarter-on-quarter and 17.3% year-on-year growth.” He further added that the performance reflects a deeper role in strategic client programs and sustained demand for data, cloud, and digital engineering across our core industries.

On the deal wins front, the company clocked a total contract value (TCV) of $674.5 million for the quarter, while the annual contract value (ACV) stood at $501.9 million.