Sonata Software Limited has submitted its Annual Report for the Financial Year 2025-26 along with the Notice of its 31st Annual General Meeting (AGM) to the National Stock Exchange of India Limited and BSE Limited. The filing was made by Mangal Kulkarni, Company Secretary, Compliance Officer and Head Legal, on July 7, 2026. The 31st AGM is scheduled to be held on Friday, July 31, 2026, at 3:00 p.m. IST via Video Conferencing and Other Audio Visual Means. The company has fixed July 17, 2026 as the record date to determine members eligible for the final dividend for FY 2025-26, subject to shareholder approval at the AGM.

Financial Performance: Consolidated and Standalone

Sonata Software delivered a resilient performance in FY 2025-26. The consolidated total income grew 6% year-on-year, while standalone total income surged 37%. The following tables summarise the key financial highlights:

Consolidated Financial Highlights

Standalone Financial Highlights

The consolidated EBITDA margin stood at 8% and Net Profit margin at 4% for FY 2025-26. The Return on Average Capital Employed (ROCE) for the year ended March 31, 2026 stood at 29% on a consolidated basis, while the Return on Average Net Worth (RONW) was at 26%. The company's consolidated net worth stood at ₹1,90,463 Lakhs and capital employed at ₹2,73,705 Lakhs.

Segment Performance and Business Highlights

The Group's consolidated operations are classified under two segments. International IT Services contributed 28% of total revenues and 63% of PAT, while Domestic Products and Services contributed 72% of total revenues and 37% of PAT. International IT services revenues stood at ₹2,94,803 Lakhs (USD 328.4 million), an increase of 4.2% on a Y-o-Y basis. Domestic products and services stood at ₹7,77,207 Lakhs (USD 879.7 million), an increase of 5.9% on a Y-o-Y basis.

The company added 23 new logos during the year across verticals and regions in the International Services segment. North America accounted for 74% of total revenue, up from approximately 54% three years ago. AI now contributes 18% of the total order book, and cloud and data opportunities account for approximately 57% of the total pipeline. The company's Invest Verticals — Healthcare & Life Sciences (HLS) and Banking, Financial Services & Insurance (BFSI) — together contributed 30% of total revenue, a sharp rise from 13% three years ago. The Microsoft Fabric-led opportunity pipeline stands at $31 million across 70+ clients.

Dividend and Key Corporate Events

The Board of Directors has recommended a final dividend of ₹4.15 per equity share (415% on par value of ₹1 each) for FY 2025-26, subject to shareholder approval at the ensuing AGM. This is in addition to three interim dividends already paid during the year.

If approved at the AGM, the final dividend will be paid on or after August 10, 2026. The record date for dividend eligibility is July 17, 2026.

AGM Schedule and Key Dates

Leadership and Strategic Outlook

Mr. Rajsekhar Datta Roy was appointed as Chief Executive Officer of the Company with effect from May 9, 2026, for a period of 3 years, following the expiration of Mr. Samir Dhir's term as Managing Director & CEO on May 8, 2026. Mr. P Srikar Reddy was re-appointed as Executive Vice Chairman and Whole-Time Director with effect from April 4, 2026.

The company's strategic focus remains on being an AI-first Modernization Engineering firm powered by its proprietary Platformation™ framework. Key proprietary platforms include Harmoni.AI, AgentBridge, and IntelliQA. The company holds AWS Premier Tier Services Partner status and is among the first companies to be recognized as a Microsoft Frontier Partner. More than 90% of the workforce is AI-capable, and the company has forged strategic academic collaborations with IISc and Wharton School to advance research in Agentic AI. The company achieved an aggregated Customer Satisfaction (CSAT) score of 4.3 out of 5, with over 65% of client stakeholders identified as strong promoters in the Net Promoter Score (NPS) survey.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE269A01021/95d6590e-994d-43cd-a916-735611b548c8.pdf

Sonata Software Limited has provided an update regarding the legal proceedings initiated by its subsidiary, Sonata Software North America, Inc (SSNA), against OBSA Operating Company, LLC (OBSA). The Court has dismissed the involuntary petition filed under Chapter 7 of the United States Bankruptcy Code. This development impacts the recovery strategy for the subsidiary against the debtor.

The dismissal of the petition serves as a sanction against OBSA due to its failure to comply with Rule 1007(a)(2) of the United States Federal Rules of Bankruptcy Procedure. Consequently, OBSA has executed a separate general assignment for the benefit of its creditors (ABC) under California law. This assignment functions as an out-of-court mechanism to conclude the affairs of an insolvent debtor, offering an alternative to the Chapter 7 bankruptcy procedure.

The disclosure was made to the National Stock Exchange of India Limited and BSE Limited in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The update references the company's earlier intimation dated March 7, 2026, regarding the same matter.

Legal Proceedings Status

The following table details the status and developments in the legal proceedings as per the filing:

The company confirmed that there are no material developments regarding litigation against key management personnel, promoters, or ultimate persons in control. Additionally, the disclosure stated that there are no settlements to report, as the proceedings have not concluded through a settlement agreement.