CG-VAK Software Reports 59% Surge in Q1 Profit, Revenue Up 11.7%
CG-VAK Software & Exports Limited reported strong Q1 FY2026 results. Standalone net profit increased by 59% to Rs 271.56 crore, while revenue grew by 11.7% to Rs 1,393.16 crore. Consolidated net profit rose 61% to Rs 281.27 crore. The company's EPS improved to Rs 5.38 from Rs 3.38. The board approved key corporate actions including the re-appointment of Mr. G. Suresh as Managing Director & CEO for three years.
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CG-VAK Software & Exports Limited, a prominent player in the Information Technology Services sector, has reported a robust financial performance for the quarter ended June 30. The company's standalone net profit soared by 59% year-over-year, while its revenue showed steady growth.
Financial Highlights
| Metric | Q1 FY2026 | Q1 FY2025 | Change |
|---|---|---|---|
| Net Profit | Rs 271.56 crore | Rs 170.94 crore | +59% |
| Revenue from Operations | Rs 1,393.16 crore | Rs 1,247.21 crore | +11.7% |
| Total Income | Rs 1,420.46 crore | Rs 1,268.86 crore | +11.9% |
| Earnings Per Share (EPS) | Rs 5.38 | Rs 3.38 | +59.2% |
Consolidated Performance
On a consolidated basis, CG-VAK Software & Exports Limited demonstrated even stronger results:
| Metric | Q1 FY2026 | Q1 FY2025 | Change |
|---|---|---|---|
| Consolidated Net Profit | Rs 281.27 crore | Rs 174.71 crore | +61% |
| Consolidated Revenue | Rs 1,844.67 crore | Rs 1,823.17 crore | +1.2% |
Operational Insights
The company continues to focus solely on the Information Technology Services segment. The substantial profit growth despite moderate revenue increase suggests improved operational efficiency and cost management.
Management Commentary
Mr. G. Suresh, Managing Director & CEO of CG-VAK Software & Exports Limited, stated, "Our strong performance this quarter reflects our commitment to delivering high-quality IT services and our ability to adapt to market demands. The significant increase in profitability demonstrates our operational excellence and strategic focus."
Corporate Developments
During the board meeting held on August 13, several key decisions were made:
- Approval of the 30th Annual General Meeting notice and associated reports
- Re-appointment of Mr. G. Suresh as Managing Director & CEO for three years
- Appointment of M/s. LMS & Associates as Secretarial Auditor for five years
- Reconstitution of the Investors' Grievance Committee
Market Position
CG-VAK Software & Exports Limited maintains a strong position in the IT services market. The company's ability to grow its profit significantly faster than its revenue indicates effective margin management and possibly a shift towards higher-value services.
Conclusion
The financial results underscore CG-VAK Software & Exports Limited's resilience and growth potential in the dynamic IT sector. As the company continues to focus on its core competencies, stakeholders will be keen to observe its strategies for sustaining this growth trajectory in the coming quarters.
Historical Stock Returns for CG-VAK Software & Exports
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.69% | -2.90% | -4.05% | +2.66% | -16.72% | +276.88% |
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