Esconet FY26 revenue surges 53% to ₹357.84 crore, PAT falls 23%
Esconet Technologies Limited reported a 53.41% increase in consolidated revenue to ₹35,784.11 Lakhs for FY26, while PAT declined 23.04% to ₹615.50 Lakhs due to supply chain cost pressures. The Board approved the audited financial results, appointed a new internal auditor, and revised the utilisation schedule for preferential issue proceeds following the lapse of certain warrants.
*this image is generated using AI for illustrative purposes only.
Esconet Technologies Limited announced its audited standalone and consolidated financial results for the financial year ended March 31, 2026, reporting a 53.41% surge in consolidated revenue to ₹35,784.11 Lakhs. Despite the robust top-line growth, Profit After Tax (PAT) declined by 23.04% to ₹615.50 Lakhs, primarily due to unprecedented cost pressures in the global technology hardware supply chain and increased strategic investments. The company delivered a strong operational recovery in the second half of the year, with consolidated PAT rising 261.87% sequentially to ₹482.24 Lakhs in H2 FY 2025-26 from ₹133.00 Lakhs in H1.
The Board of Directors, in its meeting held on May 28, 2026, approved the audited financial results. The Board also approved the appointment of M/s Karan Kasana & Associates, Chartered Accountants, as the Internal Auditor for FY 2026-27. Additionally, the Board sanctioned a revision in the schedule for utilisation of proceeds raised through Preferential Allotment of Equity Shares and Convertible Warrants, consequent to the forfeiture of certain warrants that lapsed on April 25, 2026. The revised allocation reduces the total net proceeds to ₹2,716.53 Lakhs from ₹3,269.22 Lakhs.
Consolidated Financial Performance
Esconet's consolidated business demonstrated significant scale expansion during FY 2025-26, with revenue from operations growing 53.89% year-on-year to ₹35,440.40 Lakhs. The second half of the financial year witnessed a strong acceleration in business momentum, with total revenue increasing 44.59% over the first half.
| Particulars | FY 2025-2026 (₹ in Lakhs) | FY 2024-2025 (₹ in Lakhs) | YoY % |
|---|---|---|---|
| Total Revenue | 35,784.11 | 23,325.09 | ↑ 53.41% |
| Operating Revenue | 35,440.40 | 23,029.80 | ↑ 53.89% |
| EBIDTA | 1,225.16 | 1,304.88 | ↓ 6.11% |
| EBIDTA Margin % | 3.46% | 5.67% | ↓ 221 bps |
| PAT | 615.50 | 799.79 | ↓ 23.04% |
| PAT margin | 1.72% | 3.43% | ↓ 171 bps |
Profit Before Tax (PBT) for the year stood at ₹861.80 Lakhs compared to ₹1,062.14 Lakhs in the prior year. The company noted that while annual profitability margins were impacted by elevated input costs and expansion initiatives, H2 PBT rose sharply by 311.63% over H1, reflecting better operating leverage and normalization in certain supply chain segments.
Standalone Results and Strategic Investments
On a standalone basis, Esconet crossed the ₹300 Crore total income mark for the first time, recording total revenue of ₹30,072.25 Lakhs, a 31.90% increase from the previous year. Standalone PAT for the year was ₹646.83 Lakhs, a decrease of 6.12% from ₹688.98 Lakhs in FY 2024-25. Similar to the consolidated performance, the standalone business witnessed a substantial improvement in H2, with PAT increasing 235.50% sequentially.
| Particulars | FY 2025-2026 (₹ in Lakhs) | FY 2024-2025 (₹ in Lakhs) | YoY % |
|---|---|---|---|
| Total Revenue | 30,072.25 | 22,799.96 | ↑ 31.90% |
| Revenue from Operations | 29,782.95 | 22,509.98 | ↑ 32.31% |
| Profit Before Tax (PBT) | 883.59 | 912.80 | ↓ 3.20% |
| Profit After Tax (PAT) | 646.83 | 688.98 | ↓ 6.12% |
The company continued to make strategic long-term investments in operational capabilities, workforce expansion, and delivery infrastructure. Subsidiaries including Esconet Singapore Pte. Ltd., Fluidech IT Services Private Limited, and ZeaCloud Services Private Limited contributed to business diversification. Fluidech obtained NPCI empanelment to enhance its cybersecurity credentials, while ZeaCloud faced margin pressures due to rising global hardware prices but maintained healthy operational growth.
Historical Stock Returns for Esconet Technologies
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -3.51% | -1.23% | -5.36% | -24.64% | -27.83% | -53.54% |
Will the supply chain cost pressures normalize in the coming fiscal year to restore EBITDA margins to previous levels?
How will the reduction in net proceeds from the preferential allotment impact the timeline for the company's strategic expansion initiatives?
Can the strong operational momentum and profitability recovery observed in H2 be sustained throughout FY 2026-27?
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