Synopsis: The results were also accompanied by two senior leadership exits disclosed separately to exchanges, the Chief Growth Officer and Chief AI Officer adding a near-term management continuity question heading into the April 27 earnings call.
A Hyderabad-based cloud communications company reported Q4 and full-year FY2025-26 results on April 24, with Q4 revenue marking the fourth consecutive quarter of sequential top-line improvement. Despite a solid revenue print and strong cash generation, the stock closed the day 2.87 percent lower as investors weighed narrowing operating margins and the separately disclosed exits of two C-suite executives.
With a market capitalisation of Rs. 7,197.14 crore, the shares of Tanla Platforms Limited were trading at Rs. 542.8 per share, went up to 15.27 percent from its previous closing price of Rs. 485.8 apiece. The stock trades at a P/E of 12.65.
For FY2025-26, Tanla reported revenue of Rs. 4,418 crore, a 9.7 percent year-on-year increase. Gross profit grew 11.8 percent to Rs. 1,175 crore pointing to some improvement in the contract-level pricing mix. EBITDA, however, grew just 4.8 percent to Rs. 724 crore, with EBITDA margin narrowing to approx 16.4 percent from roughly 17.2 percent in FY2024-25.
Employee costs and platform infrastructure expenses scaled ahead of revenue during the year, producing the gap between top-line and operating profit expansion. Full-year PAT stood at Rs. 509 crore, with a PAT margin of 11.5 percent. Free cash flow for the year was Rs. 477 crore a metric that reflects the capital-light structure of the CPaaS business and minimal working capital drag. EPS for FY26 was Rs. 38.36.
Q4 FY2025-26 was the strongest quarter of the year. Revenue reached Rs. 1,178 crore, up 15 percent year-on-year and 5 percent sequentially. Gross profit for the quarter expanded 22.8 percent YoY to Rs. 318 crore. EBITDA came in at Rs. 192 crore, up 17.3 percent YoY, while PAT was Rs. 134 crore, a 14.5 percent improvement over Q4 FY2024-25. Q4 free cash flow of Rs. 206 crore was 154 percent of quarterly PAT, reflecting seasonal working capital release.
Dividend
In line with its stated 30 percent dividend payout policy, the company announced a second interim dividend of Rs. 6 per share for FY2025-26. The first interim dividend of Rs. 6 per share was paid in October 2025, bringing the total FY26 payout to Rs. 12 per share. At the April 24 closing price, the trailing FY26 dividend yield works out to approximately 2.47 percent.
Business Overview
Tanla Platforms Limited is a Hyderabad-based CPaaS company incorporated in 1999 and listed since 2007. The company processes over 800 billion interactions annually and holds approximately 35 percent of India’s A2P SMS traffic. Its enterprise base spans over 2,500 customers, including global technology firms Google, Meta, and Truecaller, and it was recognised as a ‘Visionary’ in the 2025 Gartner Magic Quadrant for CPaaS.
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