Digitide Solutions Limited, a leading tech-enabled business solutions provider, has reported a robust performance for the second quarter of fiscal year 2026, with significant growth in its technology and digital segment.

Key Financial Highlights

• Consolidated revenues reached INR 764.00 crores, up 4% sequentially and 7% year-on-year
• Tech and digital segment revenues surged 23% year-on-year, now contributing 30% of total revenue
• International business increased 6% sequentially and 4% year-on-year, accounting for 37% of total revenue
• EBITDA stood at INR 85.00 crores, up 3% sequentially with stable margins at 11.1%
• Adjusted PAT was INR 17.00 crores

Strategic Developments

Digitide Solutions has made significant strides in strengthening its market position and capabilities:

• Achieved Tier-1 partnership status with both AWS and Azure
• Expanded AI Center of Excellence in Bangalore
• Launched DigiAIWave upskilling program, targeting 10,000 professionals
• Recognized as a major contender in six Everest peak metrics

Business Performance

The company's focus on tech and digital services is yielding results:

Future Outlook

Digitide Solutions remains committed to its 3x3x3 strategy, aiming to triple revenues to USD 1 billion by FY31. The company expects margin expansion to begin in Q4 FY26 as demerger-related expenses are largely completed.

Gurmeet Chahal, CEO and Executive Director, commented, "Our investments in establishing Digitide as a standalone company, bringing in new leadership, and building advanced capabilities are deliberate and extremely necessary. While these actions have a short-term impact on our margins, they are critical to our long-term strategy and future success."

The company's focus on AI-led transformation and digital solutions is driving growth, with 50% of new deals being AI-enabled. Digitide Solutions booked INR 550.00 crores in Total Contract Value (TCV) for the third consecutive quarter and acquired 24 new client logos.

As Digitide Solutions continues to invest in capabilities and talent, it remains well-positioned to capitalize on the growing demand for AI and digital transformation services in the coming quarters.

Digitide Solutions , an AI-first digital transformation partner for global enterprises, has reported robust growth in its Q2 FY26 financial results, while also unveiling ambitious plans for future expansion.

Q2 FY26 Financial Highlights

The company's Tech & Digital segment showed particularly strong performance, with revenue increasing by 23% YoY and 16% QoQ. This segment now accounts for 30% of the company's total revenue.

Key Business Developments

• Total Contract Value (TCV) bookings reached ₹550 crore, marking the third consecutive quarter above ₹500 crore
• 24 new logos were added during the quarter, indicating sustained sales momentum
• International business grew by 4% YoY and 6% QoQ, now contributing 37% of total revenue

Strategic Partnerships and Recognition

Digitide Solutions has strengthened its market position through key partnerships and industry recognition:

• Achieved Tier 1 partnership status with AWS and Microsoft Azure
• Named a Major Contender in six Everest PEAK metrics across Insurance, Customer Experience Management, and Payroll services

AI-First Strategy and Future Outlook

The company has outlined an ambitious growth strategy, aiming to reach $1 billion in revenue by FY31. This "3x3x3" strategy focuses on:

1. 3x Growth: Targeting revenue growth from ~$342 million to $1 billion, with 200-300 basis points improvement in EBITDA margin
2. 3x Service Lines: Focusing on Digital and AI Engineering, Data Analytics and AI, and BPM & BPaaS
3. 3x Verticals: Emphasizing BFSI, Fast Growth Tech, and Manufacturing, Energy & Utilities

Digitide Solutions is heavily investing in AI capabilities, with over 50 AI accelerators already in production. The company's AI Centre of Excellence, Pulse.AI, is developing solutions across various domains including intelligent customer experience, enhanced employee experience, and AI-powered adaptive tech.

Management Commentary

Gurmeet Chahal, Chief Executive Officer of Digitide Solutions, stated, "Q2 FY26 marks a pivotal step in our transformation journey. Our AI-first strategy, strengthened partnerships, and focus on high-value segments are driving sustained growth and a robust, international pipeline."

Suraj Prasad, Chief Financial Officer, added, "This quarter reflects disciplined execution and financial resilience. Our strong balance sheet enables strategic investments in AI, automation, and talent, laying the foundation for sustainable growth."

Conclusion

Digitide Solutions' Q2 FY26 results demonstrate the company's strong growth trajectory and its commitment to AI-led digital transformation. With a clear strategy for expansion and a focus on high-growth areas, the company appears well-positioned to achieve its ambitious $1 billion revenue target by FY31. However, investors should note that future performance may be subject to market conditions and successful execution of the company's growth strategy.