Subex Limited reported a consolidated net profit of ₹1,422 lakh for the quarter ended June 30, 2026, while its normalized earnings before interest, tax, depreciation, and amortization (EBITDA) surged 59.5% quarter-on-quarter to ₹1,687 lakh. This significant margin expansion, reaching 21.2% from 14.5% in the previous quarter, signals strong operational leverage as the company accelerates the conversion of its order backlog. Revenue from operations rose 19.6% year-on-year to ₹7,945 lakh, supported by new deal wins in Europe and the Middle East.

The Board of Directors, meeting on August 5, 2026, approved the unaudited standalone and consolidated financial results pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Statutory auditors M S K C & Associates LLP issued an unmodified review report. The company also disclosed that its cash and cash equivalents stood at ₹18,480 lakh as of June 30, 2026, reflecting continued liquidity stability. An earnings call is scheduled for August 6, 2026.

Financial Performance Highlights

Consolidated revenue from operations stood at ₹7,945 lakh, compared to ₹7,296 lakh in Q4FY26 and ₹6,640 lakh in Q1FY26. Normalized profit before tax (PBT) increased 27.5% quarter-on-quarter to ₹1,833 lakh. Normalized profit after tax (PAT) rose to ₹1,609 lakh from ₹1,151 lakh in the prior quarter. The reported PAT includes exceptional items and impairment allowances, which reduced the final figure to ₹1,422 lakh.

Standalone net profit was ₹855 lakh, up from ₹687 lakh in Q1FY26. Standalone revenue grew to ₹7,278 lakh from ₹6,256 lakh in the corresponding prior period. The company received a tax refund of ₹288 lakh in Q1FY27.

Business Updates and Order Wins

Subex secured several key contracts during the quarter, reinforcing its annuity-based revenue model. A Tier 1 operator in the Middle East renewed its managed services and license agreement, while another Middle East operator awarded a deal for migration assurance. In Europe, the company won a new business assurance and fraud management (BAFM) deal. Additionally, an African operator renewed its managed services for BAFM, and a Tier 1 operator in Asia-Pacific and Rest of World (APAC and ROW) renewed managed services for product efficiency management (PEM).

Revenue by service segment showed License implementation and Customization growing to 33% of total revenue in Q1FY27, up from 29% in Q1FY26. Managed Services remained stable at 29%, while Support and others declined slightly to 38%. Geographically, EMEA continued to be the largest contributor at 58% of revenue, followed by APAC and ROW at 27%, America at 13%, and India at 2%.

What the Numbers Show

The divergence between reported and normalized metrics highlights the impact of exceptional items and impairment allowances on Subex’s bottom line. While reported PAT was ₹1,422 lakh, normalized PAT reached ₹1,609 lakh, indicating that core operational performance remains robust despite non-recurring adjustments. The 640 basis point quarter-on-quarter expansion in normalized EBITDA margin to 21.2% demonstrates that revenue growth is not being offset by proportional cost increases, but rather translating into higher operating leverage. This efficiency gain, combined with a healthy cash position of ₹18,480 lakh, provides the company with strong liquidity to pursue further strategic initiatives, including the recently formulated Employee Stock Option Plan 2026.

Subex Limited shareholders approved all three resolutions proposed at its 32nd Annual General Meeting (AGM) held on August 4, 2026, through Video Conference/Other Audio-Visual Means (VC/OAVM). The meeting saw overwhelming support for the adoption of audited financial statements for FY26, the reappointment of Ms. Nisha Dutt as a Director retiring by rotation, and the re-appointment of Mr. Rupinder Goel as an Independent Director for a second term.

The proceedings were conducted in compliance with Regulation 44 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and Section 108 of the Companies Act, 2013 read with Rule 20 of the Companies (Management and Administration) Rules, 2014. CS Biswajit Ghosh, Designated Partner of BMP & Co. LLP, served as the Scrutinizer to oversee the e-voting process. The e-voting facility was provided by National Securities Depository Limited (NSDL), with remote e-voting conducted from July 31, 2026, to August 3, 2026.

Voting Results

All resolutions were passed with requisite majority. The detailed voting results are presented below:

A total of 1,45,25,837 votes were cast in favor of adopting the audited consolidated financial statements for the fiscal year ended March 31, 2026, along with the reports of the Board of Directors and Auditors. Only 42,645 votes were cast against this resolution.

Board Continuity

Ms. Nisha Dutt, Managing Director & CEO, was reappointed as a Director after retiring by rotation. The resolution received 1,46,76,095 votes in favor, representing 99.4829% of valid votes cast, with only 76,281 votes against. Mr. Rupinder Goel was reappointed as an Independent Director for a second term, securing 1,44,46,239 votes in favor (98.1530%), with 2,71,837 votes against.

Participation and Governance

The record date for determining voting eligibility was July 28, 2026. A total of 339,666 shareholders were on record, with 48 members attending the AGM virtually. The company dispensed with physical attendance requirements in line with MCA General Circular No. 03/2025. Electronic copies of the Annual Report for FY26 and the Notice convening the 32nd AGM had been distributed to members via registered email IDs prior to the event.

The Statutory Auditors, M/s. MSKC & Associates LLP, confirmed their presence during the session. There were no qualifications or adverse remarks in the Statutory or Secretarial Auditor’s Reports requiring specific clarification. The high level of shareholder approval across all resolutions indicates strong confidence in the company’s financial reporting and leadership continuity.