Amagi Media Labs has reported its audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The company delivered strong FY26 performance with revenue growing 29.5% year-over-year to ₹15,056.06 million. Profit After Tax turned positive at ₹716.73 million, a significant turnaround from the net loss of ₹687.14 million recorded in the previous year. Total income for the year stood at ₹15,701.43 million. The Board of Directors approved the financial statements at a meeting held on May 20, 2026. The company has published the audited financial results in newspapers, The Financial Express and Vishwavani, on May 21, 2026, pursuant to Regulation 30 and 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

For the financial year ended March 31, 2026, the company reported a consolidated net profit of ₹716.73 million. Revenue from operations for the quarter ended March 31, 2026, stood at ₹3,969.71 million, while the net profit for the quarter was ₹342.63 million compared to a loss of ₹106.00 million in the corresponding quarter of the previous year.

Consolidated Financial Performance

The company's profitability improved due to a rise in operational income and efficient cost management.

Segment Performance

Revenue growth was broad-based across the company's three segments. Streaming Unification contributed ₹838 million (56% of revenue), growing 26% year-on-year. Monetization & Marketplace revenue reached ₹381 million (25%), up 36%, while Cloud Modernization revenue stood at ₹286 million (~19%), an increase of 32%. The company reported a Net Revenue Retention (NRR) of 126% for the third consecutive year.

Standalone Results

On a standalone basis, Amagi Media Labs reported a net profit of ₹264.47 million for the year ended March 31, 2026, recovering from a net loss of ₹1,220.69 million in the previous year. Revenue from operations for the standalone entity increased to ₹9,492.32 million from ₹6,669.84 million in FY25. For the quarter ended March 31, 2026, the standalone net profit was ₹196.97 million.

Key Developments

During the year, the company completed its Initial Public Offering (IPO) and issued bonus shares. It also converted Compulsorily Convertible Preference Shares (CCPS) into equity shares. The board approved the liquidation of Argoid Analytics Private Limited, a subsidiary, in November 2025. Additionally, the company recognized an incremental cost of ₹76.24 million as past service cost under employee benefits expense following the notification of new Labour Codes by the Government of India.

Amagi Media Labs Limited has disclosed the receipt of an income tax assessment order carrying a proposed adjustment of ₹17,91,09,474 for Assessment Year 2023-24. The order was received on May 14, 2026, and was disclosed to the stock exchanges on May 15, 2026, pursuant to Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Assessment Order Details

The assessment order was passed by the Deputy Commissioner of Income Tax, Circle 1(1)(1), Bengaluru, under Section 143(3) of the Income Tax Act, 1961. The key details of the order, as disclosed by the company, are summarised below:

Nature of the Dispute

The proposed adjustment arises from the Income Tax Department's categorisation of certain overseas entities associated with the company as "resellers of IT products." This classification has consequential implications under the transfer pricing provisions applicable to international inter-company transactions under the Income Tax Act, 1961.

Amagi Media Labs, however, contests this characterisation. The company maintains that these overseas entities are in the nature of "IT service providers" and has stated its intention to challenge the proposed re-computation before the appropriate appellate authority.

Financial and Operational Impact

According to the company's disclosure, the financial impact of the assessment order is confined to the proposed adjustment amount of ₹17,91,09,474. The company has explicitly stated that there is no impact on the operational or other activities of the company arising from this order.

The company is in the process of filing an appeal against the order before the appellate authority, signalling that the matter remains subject to further legal proceedings.