Firstsource Solutions Grants 677,000 Stock Options to Boost Employee Retention
Firstsource Solutions Limited has approved 677,000 stock options for its employees and subsidiaries under the Employee Stock Option Plan 2019. The decision, made on November 4, 2025, aims to align employee interests with shareholders and enhance retention. Each option is convertible into one equity share. This move follows strong Q2 FY2026 results, with revenue up 20.1% year-over-year to ₹23,122.00 million. The company's total employee strength is 35,997, with attrition rate improving to 28.0%.

*this image is generated using AI for illustrative purposes only.
Firstsource Solutions Limited , a leading global provider of business process management services, has announced the approval of 677,000 stock options for its employees. The decision, made by the company's Nomination and Remuneration Committee on November 4, 2025, aims to align employee interests with those of shareholders and enhance long-term retention.
Key Details of the Stock Option Grant
- Number of Options: 677,000
- Eligibility: Employees of Firstsource Solutions Limited and its subsidiaries
- Plan: Firstsource Solutions Limited Employee Stock Option Plan 2019
- Conversion: Each option is exercisable into one equity share
- Approval Date: November 4, 2025
This move comes as part of Firstsource's strategy to motivate and retain talent in a competitive business environment. By offering stock options, the company provides employees with a stake in its future success, potentially fostering a stronger sense of ownership and commitment.
Alignment with Company Performance
The stock option grant coincides with Firstsource's recent financial performance. In its Q2 FY2026 results, the company reported:
| Metric | Value | Year-over-Year Change |
|---|---|---|
| Revenue | ₹23,122.00 million (US$265.00 million) | Up 20.1% |
| EBIT | ₹2,665.00 million | 11.5% margin |
| Profit After Tax (PAT) | ₹1,795.00 million | 7.8% of revenue |
These financial results may provide additional confidence to employees receiving the stock options, as they reflect the company's growth trajectory and market position.
Employee Engagement and Retention Strategy
Firstsource has been actively working on improving its employee metrics. As of Q2 FY2026:
- Total employee strength stood at 35,997, with a net addition of 1,502 over the previous quarter
- Attrition rate declined to 28.0%, showing a 12 percentage point improvement over the last eight quarters
The stock option grant may further support these positive trends in employee retention and engagement.
Market Impact and Outlook
While the immediate market impact of this stock option grant may be limited, it signals Firstsource's commitment to aligning employee incentives with shareholder interests. As the company continues to execute its growth strategy, including its 'UnBPO™' approach and focus on AI-driven solutions, motivated employees could play a crucial role in driving innovation and client satisfaction.
Firstsource maintains its FY2026 guidance of 13-15% constant currency revenue growth and an EBIT margin between 11.25% and 12%, indicating confidence in its business model and market positioning.
Investors and market observers will likely monitor how this employee stock option program contributes to Firstsource's ability to attract and retain talent, particularly in key areas such as AI and digital transformation, which are central to the company's future growth plans.
Historical Stock Returns for Firstsource Solutions
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.51% | +2.57% | +7.37% | +4.82% | -1.84% | +400.43% |















































