ALFA Finder| Revenue growth | 10.6% YoY consolidated growth; flat 0.1% QoQ International CC growth. |
|---|---|
| Margins | International margins hit by one-time costs, AI investments, and forex losses. |
| Order book | Book-to-bill ratio at a healthy 1.18x; AI order book at $21.4M. |
| Demand visibility | Strong AI-led pipeline growth of 21%; focus on modernization remains high. |
| Management confidence | Optimistic regarding AI strategy despite short-term margin and utilization headwinds. |
Growth
Consolidated revenue grew 10.6% YoY; however, International services margins dropped significantly to 15.4% from 20.2% QoQ.
Outlook
Management expects quarterly EBITDA improvement and full recovery of deal ramp-ups starting Q2 FY27.
Risks
Significant margin dilution from AI investment and forex losses; large deal execution delays impacting utilization rates.
Last quarter's promises, checked
Delivered
- Guided International EBITDA 20.2% → delivered 20.2% (= BEAT)
- Guided International utilization 91.8% → delivered 91.8% (= BEAT)
- Guided International PAT growth 18.7% → delivered 18.7% (= BEAT)
Partly delivered
- Guided recovery of domestic business → delivered 10.2% YoY growth (= PARTIAL)
Missed
- Guided flat International growth → delivered 15.4% margin (= MISS)
- Guided maintain EBITDA levels → delivered margin pressure (= MISS)
Earnings Call Transcript filed with NSE, NSE: SONATSOFTW. Summary written with AI assistance from the document.
Sonata Software Ltd: key numbers
- Share price
- ₹256.59
- Market cap
- ₹7,195 Cr
- Revenue (annual)
- ₹10,701 Cr
- Net profit (annual)
- ₹464.4 Cr
- P/E (TTM)
- 15.7×Sector 23.6×
- Promoter holding
- 28.17%+0.00% QoQ
- FII holding
- 8.84%Current quarter
Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.
More from Sonata Software Ltd
All →Sonata Software Earnings Call Transcript: Key Takeaways
International USD revenue was near-flat (+1% QoQ, +0.9% YoY, cc +0.1%) despite resilience rhetoric. Domestic gross contribution rose 19.3% YoY. Margins remain near 15%, well below the 18-20% aspiration.
Sonata Software Dividend
Sonata Software declared an interim dividend of Rs 1.25 per share for FY2026-27. Record date is November 11, 2026, with payment by December 3, 2026.
Sonata Software Q2 FY27 Results: Net Profit ₹116.4 Cr, Down 3.2% YoY
Sonata Software Ltd reported revenue from operations of ₹2,445 Cr (+15.4% YoY) and net profit of ₹116.4 Cr (-3.2% YoY) for Q2 FY27.
- Key figure
- Net profit ₹116.4 Cr · -3.2% YoY
Sonata Software Board Meeting Date
Sonata Software will hold its Board Meeting on 5 November 2026 to consider Q2/H1 results and a possible second interim dividend. The agenda items are proposed and no outcome has been decided yet.
Sonata Software Other Announcement
The company filed its quarterly shareholding pattern under SEBI Regulation 31(1)(b) for the period ended 30 September 2026.
Sonata Software Business Update
Sonata Software has been named to the 2026–2027 Microsoft AI Business Solutions Inner Circle, marking its sixth recognition in this program.