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Fractal Q1 FY27 Results: Profit Rises 90% as Revenue Hits Rs 913 Cr

Fractal reported Rs 913 crore in revenue from operations and Rs 72 crore in profit for Q1 FY27, with revenue up 20% year on year and profit up 90%.

Fractal Q1 FY27 financial results
Image credits:Entrackr

Revenue Crosses Rs 900 Cr in Q1 FY27

Fractal revenue and profit update
Image credits:Entrackr

Fractal reported revenue from operations of Rs 913 crore in Q1 FY27, up 20% year on year from Rs 761 crore in Q1 FY26. The company’s total income reached Rs 932 crore after adding Rs 20 crore from non-operating sources.

The result keeps the focus on Fractal’s core analytics and consulting business, along with licensing and subscription fees from AI platforms including Cogentiq, fflyfish.ai, and Kalaido.ai.

Profit Jumps 90%, But Slips From Previous Quarter

Fractal’s profit rose 90% year on year to Rs 72 crore in Q1 FY27, compared with Rs 38 crore a year earlier. The improvement came as revenue grew slightly faster than expenses during the quarter.

On a quarter-on-quarter basis, profit declined 38% from Rs 116 crore recorded in Q4 FY26. That makes the headline profit growth strong annually, while the sequential trend is more measured.

Employee Costs Remain the Biggest Expense

Employee benefit expenses were Fractal’s largest cost component, accounting for more than 77% of total spending. These expenses grew 14% year on year to Rs 632 crore in Q1 FY27.

Total expenses rose 17% to Rs 818 crore from Rs 700 crore in Q1 FY26, driven by employee costs as well as higher depreciation, finance costs, and other overheads. The key takeaway: expense growth stayed below revenue growth, supporting the profit expansion.

IPO Context and Market Snapshot

Fractal went public in February through a Rs 2,834 crore IPO that included both a fresh issue and an offer for sale. The offering provided exits to existing investors including Apax Partners and TPG Capital, and the stock debuted at a 3% discount to its issue price.

At the end of Thursday’s trading session, Fractal’s share price closed at Rs 866. Its total market capitalization stood at Rs 14,892 crore, or $1.56 billion.

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