Silver Touch Technologies Limited reported a sharp acceleration in profitability for the first quarter of FY27, with net profit more than tripling year-on-year.

The Silver Touch Technologies posted a consolidated net profit of ₹10.01 crore for the three months ended June 30, 2026, compared to ₹4.04 crore in the same period last year. This represents a 148% year-on-year growth, significantly outpacing the top-line expansion.

Financial Performance

Revenue from operations grew 22.26% to ₹76.72 crore in Q1FY27, up from ₹62.75 crore in Q1FY26. Total income, which includes other income, rose 23.45% to ₹78.02 crore.

Operating efficiency improved markedly as EBITDA nearly doubled. The company recorded an EBITDA of ₹17.05 crore, up from ₹9.03 crore in the prior-year period. Consequently, the EBITDA margin expanded by 782 basis points to 22.22%.

What the Numbers Show

The divergence between revenue growth and profit expansion highlights a structural shift in the company’s business model. While revenue grew by roughly 22%, operational expenses related to stock-in-trade plummeted by 76.30% to ₹2.86 crore from ₹12.06 crore in the previous year. This drastic reduction in hardware procurement costs, combined with stable employee benefit expenses relative to income, confirms the transition from low-margin hardware reselling to higher-margin proprietary software and AI platforms.

Strategic Wins and Outlook

The company highlighted continued execution on marquee government projects, including engagements with the Indian Navy, Ministry of External Affairs, and Airport Authority of India. Silver Touch also noted increasing commercial traction for its AI4Pharma product suite.

Looking ahead, management emphasized deepening its leadership in e-governance, expanding international presence in the UK, USA, and Canada, and scaling IP-led AI solutions. The company aims to drive recurring revenues through managed services and annual maintenance contracts.

Silver Touch Technologies promoter Vipul Haridas Thakkar purchased 35,000 equity shares on the open market on September 3, 2026. The acquisition brings his total shareholding to 20.48% of the company’s voting capital.

The transaction was disclosed under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Thakkar, who belongs to the promoter group and serves as Managing Director, executed the buy order on the National Stock Exchange of India Limited and BSE Limited.

Shareholding Pattern Update

Prior to this transaction, Thakkar held 2,59,29,630 shares carrying voting rights, representing a 20.45% stake. The additional purchase of 35,000 shares increased his voting rights holding to 2,59,64,630 shares.

The number of encumbered shares remained unchanged at 9,28,130, constituting 0.73% of the total capital. There were no changes in warrants, convertible securities, or other instruments entitling the acquirer to receive shares carrying voting rights.

What the Numbers Show

The open market purchase represents a marginal increase of 0.03% in Thakkar’s stake. The total diluted share/voting capital of Silver Touch Technologies remains constant at 1,26,81,000 equity shares of Re. 2/- each, with a total equity share capital of ₹25,36,20,000. The stability in encumbered shares suggests no immediate change in pledged collateral status alongside this incremental accumulation.