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Earnings Call

Updater Services Earnings Call: Key Takeaways

Updater Services reported FY26 revenue of ₹2,960cr, up 7% YoY, despite headwinds in subsidiaries. Focus shifting to tech-led operational excellence and AI integration.

Highlights
Revenue growth7% YoY overall; IFM up 10%, BSS up 1%.
MarginsIFM margins 4.5%; BSS margins 8.8%; aiming for expansion via tech.
Order book30 new logos in IFM; 49 in Denave; 4 in Athena.
Demand visibility85-90% for FY27 based on existing contracts.
Management confidenceHigh on structural tailwinds from new labor codes and GCC growth.

Growth

FY26 revenue grew 7% to ₹2,960cr. Adjusted EBITDA stood at ₹176cr (5.9% margin); PAT was ₹83cr.

Outlook

FY27 visibility at 85-90%; high single-digit IFM growth targeted; M&A in final negotiation stages; net cash positive.

Risks

AVON subsidiary receivables provision of ₹23cr; softness in IT/ITES hiring impacting background verification (Matrix) volumes.

Last quarter's promises, checked

Delivered

  • Guided 10-12% IFM revenue growth → delivered 14% (= BEAT)
  • Guided full provision for Avon receivables → delivered INR230m provision (= BEAT)
  • Guided IFM revenue run rate growth → delivered highest ever INR5,182m (= BEAT)

Partly delivered

  • Guided DSO improvement → delivered increase but with post-quarter recovery (= PARTIAL)

Missed

  • Guided consolidated revenue growth 9-10% → delivered 7% (= MISS)
  • Guided Denave margins at 5.2% → delivered 4% (= MISS)
  • Guided Athena margins at 24% → delivered 20% (= MISS)
Source

Earnings Call filed with BSE, NSE: UDS. Summary written with AI assistance from the document.

Read the document ↗

Updater Services Ltd: key numbers

Share price
₹207.90
Market cap
₹1,392 Cr
Revenue (annual)
₹2,940 Cr
Net profit (annual)
₹85.68 Cr
P/E (TTM)
16.0×Sector 41.4×
Promoter holding
59.09%+0.00% QoQ
FII holding
3.50%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

More from Updater Services Ltd

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14:22 IST BSE
Promoter Buying

Updater Services Promoter Buying

Promoter Raghunandana Tangirala acquired 26,000 shares of Updater Services Limited via open market. This transaction increases his stake by 0.0388%.

Promoter stake change
+0.04%
17:18 IST BSE
Promoter Buying

Updater Services Promoter Buying: ₹0.49 Cr

Raghunandana Tangirala, a promoter of Updater Services Ltd, acquired 26,000 equity shares via open market purchase for ₹0.49 Crore.

Value
₹0.49 Cr
Promoter stake change
+0.04%
13:33 IST BSE
Management Change

Updater Services Management Change

Updater Services disclosed the resignation of MS Samriti Malhotra as CHRO effective September 7, 2026. No further disclosure is required for this senior management departure.

12:24 IST BSE
Capital Structure Change

Updater Services Capital Structure Change

SIS Limited acquired 17,86,545 shares of Updater Services Limited via open market, increasing its stake in the target company from 7.33% to 10.00%.