Aarvi Encon FY26 net profit rises 76% to ₹176 crore
Aarvi Encon reported a 76% YoY rise in consolidated net profit to ₹176 crore for FY26, driven by a 27.3% revenue growth to ₹6,499 crore. EBITDA surged 69.4% to ₹227 crore with a margin of 3.49%. The company added 10 new clients in Q4FY26 and secured orders worth over ₹200 crore.

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aarvi encon has reported its audited consolidated financial results for the financial year ended March 31, 2026. The company posted a 76% year-on-year increase in net profit to ₹176 crore, compared to ₹100 crore in the previous year, driven by robust operational performance and expansion in international markets.
Financial Performance
Revenue from operations for FY26 grew 27.3% to ₹6,499 crore from ₹5,104 crore in FY25. Total revenue stood at ₹6,521 crore. EBITDA for the year surged 69.4% to ₹227 crore, with margins improving to 3.49% from 2.63% in the previous year. For the quarter ended March 31, 2026, revenue from operations was ₹1,723 crore, with a net profit of ₹46 crore and an EBITDA margin of 3.95%.
The board attributed the growth to operational efficiency and a 73% year-on-year increase in international business sales. The statutory auditors, M/s. Jay Shah & Associates, issued an audit report with an unmodified opinion.
Operational Highlights
The company added more than 10 new clients during Q4FY26 across diversified sectors while maintaining a client retention rate of 97%. It secured major domestic orders aggregating to more than ₹200 crore during the quarter and won significant manpower and engineering services contracts in the UAE and Indonesia. Aarvi established a new office in Malaysia and a new engineering office in Chennai to support expansion. Total manpower deputation reached 8,272 in FY26, up from 6,667 in the previous year.
Dividend Declaration
The Board of Directors has recommended a final dividend of ₹2 per equity share of the face value of ₹10 each for FY26. This dividend is subject to shareholder approval at the ensuing Annual General Meeting and will be paid within 30 days from the date of the AGM, subject to tax deduction at source.
Consolidated Financial Results
The following table summarizes the key consolidated financial metrics for the company:
| Particulars | Year Ended March 31, 2026 (₹ in Mn) | Year Ended March 31, 2025 (₹ in Mn) |
|---|---|---|
| Revenue from Operations | 6,499 | 5,104 |
| Total Revenue | 6,521 | 5,129 |
| Total Expenses | 6,272 | 4,970 |
| EBITDA | 227 | 134 |
| Profit Before Tax | 199 | 112 |
| Net Profit | 176 | 100 |
| Diluted Earnings Per Share (₹) | 11.79 | 6.73 |
Exceptional Items
The financial results included exceptional items amounting to a net gain of ₹4 million for the year. The company noted that costs related to new labour codes for associate employees are contractually recoverable from customers.
Historical Stock Returns for Aarvi Encon
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +1.40% | -0.29% | +16.35% | +16.04% | +29.28% | +112.74% |
How will the recent expansion into Malaysia and the new Chennai engineering office impact revenue growth in the next fiscal year?
What strategies will Aarvi Encon employ to sustain the 73% surge in international business sales amidst potential global economic slowdowns?
Can the company maintain the improved EBITDA margins of 3.49% as it scales up operations and integrates new clients?


























