Synopsis:
Small-cap stock went up, as it reported strong Q2FY26 results followed by reporting positive growth and expansion across borders.

The Shares of India-based software service provider, primarily delivering software validation and verification services, were in focus after reporting strong Q2FY26 results with a 95 percent jump in Net Profits.

With market capitalization of Rs. 1,717.96 Crores, the shares of Expleo Solutions Ltd. on Friday made a day high of Rs.1,171 per share, a gain of about 20 percent from its previous day close of Rs. 976.5 per share. The share has given a return of  130 percent over the previous five years.

QoQ view

The operating revenue was Rs 282.7 crore in Q2 FY26 as compared Rs 259.6 Crore in Q1 FY26, reflecting a growth of 8.9 percent. Adjusted EBITDA stood at Rs 48.3 crore in Q2 FY26 as compared to Rs 33.2 crore in Q1 FY26, reflecting a growth of 45.5 percent. Resulting in a Net profit growth of 94.7 percent to Rs. 39.7 crore in Q2 FY26 from Rs. 20.4 crore in Q1 FY26.

YoY View

The operating revenue was Rs 282.7 crore in Q2FY26 as compared to Rs 259.3 crore in Q2FY25, reflecting a growth of 9.0 percent. Adjusted EBITDA stood at Rs 48.3 crore in Q2FY26 as compared to Rs 42.3 crore in Q2FY25, reflecting a growth of 14.2 percent. Its Net Profit grew by 12 percent to Rs. 39.76 crore in Q2 FY26 from Rs. 35.49 crore in Q2 FY25. 

Business Highlights

In Q2 FY26, the management stated in its press release that they delivered strong quarter results, despite challenging market conditions, particularly in Europe where they have significant presence. With their market growth in Europe and North America outpacing, the growth of APAC and the Middle East region. 

Operationally, they had an outstanding quarter as the company achieved record-high utilization levels. Where their investment in AI & Digital transformation has begun to give return, with their AI and AI-enabled service generating revenue and creating new business opportunities.

Expleo Solutions Ltd is an India-based software service provider primarily delivering software validation and verification services to the BFSI industry worldwide.The firm has operated for more than 25 years in India, Asia Pacific, the USA, the UK, Europe and the Middle East, powers over 150 Banking & Financial Services and Insurance clients across technology and digital transformation programs.

Written by Gourav Pratap Singh

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