Virtual Galaxy Infotech Limited reported a 52% year-on-year increase in revenue for FY26, reaching INR182.1 crores, driven by strong performance in its BFSI technology solutions and government digitalization platforms. Profit after tax stood at INR46.1 crores, translating to a PAT margin of 25.3%. The company attributes the growth to deeper client engagement, an increase in recurring revenue, and continued traction in international markets.

Financial Performance

The company’s EBITDA margin for the year was 46.2%, amounting to INR84.2 crores, consistent with its historical performance. Recurring revenue for FY26 was INR76.7 crores, representing 42% of the total revenue. The unexecuted order book stood at INR111.6 crores at the end of the fiscal year, providing medium-term revenue visibility.

Business Segments and Growth Drivers

The BFSI segment contributed 90% of the total revenue, while the ERP business contributed 9.31% and e-governance contributed 0.59%. Domestic markets accounted for 93.6% of revenue, with export markets contributing 6.44%. The company added 97 branches to its core banking platform, e-Banker, during FY26, the highest annual addition in its history.

Management highlighted the Reserve Bank of India's Scale-Based Regulation framework for NBFCs as a significant opportunity, with approximately 350 NBFCs requiring core financial services solutions. The company is actively engaging with these institutions to expand its market presence.

Future Outlook

Virtual Galaxy Infotech has provided guidance targeting a 40% plus CAGR over the next three years, aiming to reach INR500 crores in revenue by FY29. The company expects to maintain a PAT margin of approximately 25% during this period. Growth is expected to be driven by cross-selling products, expanding into NBFC and cybersecurity segments, and increasing international revenue from 6% to 20%-25%.

The active bid pipeline currently stands at around INR1,000 crores. The company remains focused on product enhancement, AI integration, and export expansion to achieve its long-term goals.

Virtual Galaxy Infotech Limited has submitted a compliance certificate to the National Stock Exchange of India Limited for the financial year ended 31 March 2026. The certification confirms the company's adherence to Regulations 3(5) and 3(6) of the SEBI (Prohibition of Insider Trading) Regulations, 2015. This filing ensures that the company maintained adequate controls over Unpublished Price Sensitive Information (UPSI) during FY26.

The compliance certificate was issued by CS Ajit Umesh Bhalgaonkar, a Practicing Company Secretary and Partner at PGBP & Associates LLP. The certification validates that the company has a Structured Digital Database (SDD) in place with restricted access controls. The system captured the nature of UPSI along with precise date and time stamps for all disseminations in the previous financial year.

The audit confirmed that the database is non-tamperable and possesses the capability to maintain records for 8 years. An internal audit trail is maintained to monitor access and modifications. The company was required to capture 10 specific events during the year, and the certification verifies that all 10 events were successfully recorded in the database.

The report explicitly states that no non-compliance was observed in the financial year ended 31 March 2026. Consequently, no remedial actions were necessary. The certificate was signed on 29 May 2026 in Pune and submitted to the exchange by Anjali Padhye, Company Secretary & Compliance Officer of Virtual Galaxy Infotech Limited.

Key Compliance Metrics for FY26