Canarys Automations reported a 122% surge in revenue from operations to ₹1981 million for FY26, compared to ₹891 million in FY25, driven by AI-driven productivity enabling scalable growth. Profit after tax (PAT) increased to ₹148 million from ₹83 million in the previous year, while EBITDA for the period stood at ₹245 million. The company’s financial performance reflects its strategic focus on leveraging artificial intelligence and machine learning to enhance operational efficiency across sectors such as BFSI, manufacturing, and education.

The total income for FY26 reached ₹1997 million, up from ₹906 million in FY25. Despite the significant revenue growth, the EBITDA margin contracted to 12.3% from 15.5% in the previous year. The PAT margin also declined to 7.4% compared to 9.2% in FY25. The company reported exceptional items amounting to ₹26 million during the year. Earnings per share (EPS) improved to ₹2.11 from ₹1.39 in the preceding fiscal year.

Financial Performance

The annual financials indicate a robust expansion in the company's scale of operations. Purchase and change in inventory costs rose significantly to ₹794 million from ₹263 million in FY25, aligning with the higher revenue volume. Employee benefits expenses also increased to ₹725 million from ₹369 million, reflecting the company's investment in human capital alongside its technological advancements.

Balance Sheet and Cash Flows

The company's balance sheet strengthened with shareholders' funds growing to ₹1,033.5 million in FY26 from ₹874.7 million in FY25. Total assets increased to ₹1,405.8 million, bolstered by goodwill on consolidation of ₹225.5 million and property, plant, and equipment & intangible assets of ₹122.9 million. Trade receivables rose to ₹802.6 million from ₹683.3 million, while cash and cash equivalents decreased to ₹79.5 million from ₹278.1 million.

Cash flow analysis revealed a net decrease in cash and cash equivalents of ₹193 million during the year. Net cash flow from operating activities was positive at ₹56 million, while investing activities resulted in an outflow of ₹290 million, primarily due to investments in growth initiatives. Financing activities provided a net inflow of ₹41 million.

Canarys Automations Limited has secured a ₹9.85 crore contract from the Greater Noida Industrial Development Authority (GNIDA) to execute Phase A of its Storm Water Management Programme. The 12-month engagement, valued at ₹9,84,88,645, involves providing consulting services and developing a digital twin-based design resolution plan to address urban waterlogging and flooding in the industrial zone. This project marks the company's third consecutive win in the water resources management and climate-tech sector.

The contract requires the preparation of a detailed storm water design and resolution plan through LiDAR-based surveys, hydrological and hydraulic modelling, and IoT and AI-based design studies. As part of the agreement, Canarys Automations must complete the full clearance and delivery of the Phase A digital twin, surveys, and equipment before advancing to further phases.

Project Scope and Technology

To accomplish the objectives, the company will deploy advanced technologies including drone-based LiDAR terrain mapping, 80 GHz microwave radar water level sensors, and smart 4G telemetry loggers. The initiative aims to create an intelligent digital twin model of GNIDA to simulate flood impact and support the city's expansion over a 25-year roadmap.

Contract Details

Mr. Srinivas Rao, Assistant Vice President of Canarys, stated that the selection serves as commercial validation of the company's water-management solutions. He noted that following successful projects in Gorakhpur and Chennai, this engagement demonstrates the scalability of their flood decision support solutions in India's critical economic hubs.