Magellanic Cloud Limited, a global leader in digital transformation, AI, and advanced surveillance solutions, has announced its financial results for the second quarter of FY26, showcasing robust growth and strategic expansion across its technology verticals.

Financial Highlights

The company reported impressive financial performance for Q2 FY26:

The results demonstrate Magellanic Cloud's ability to maintain strong revenues and profitability amid dynamic market conditions, signaling strategic stabilization in its business performance.

Key Business Developments

E-Surveillance Vertical

Magellanic Cloud's subsidiary, Provigil Surveillance Limited, secured significant projects in the e-surveillance sector:

• A ₹85.00 crore railway surveillance project for 484 stations, implementing AI-driven, cyber-secure solutions.
• A ₹32.00 crore order from Indian Highways Management Company Limited (IHMCL) for AI-powered audit camera systems across toll plazas in eight states.
• A ₹0.45 crore order from Andhra Pradesh Social Welfare Residential Educational Institution Society (APSWREIS) for security enhancement in educational institutions.

The e-surveillance vertical recorded new orders worth ₹118+ crore during Q2.

IT & ITES Segment

Motivity Labs, a subsidiary of Magellanic Cloud, entered a strategic technology partnership with BrowserStack, a global leader in cloud-based web and mobile testing platforms. This collaboration aims to accelerate release cycles and enhance product reliability through real-device automation.

Corporate Updates

• Both Magellanic Cloud Limited and Provigil Surveillance Limited achieved CMMI Maturity Level 3 appraisal, reinforcing their capability to deliver high-quality outcomes through globally aligned processes.
• The company successfully conducted its Annual General Meeting (AGM) 2025, highlighting achievements in global expansion, acquisitions, and innovation.

Management Commentary

Joseph Sudheer Reddy, Global CEO, Chairman & MD of Magellanic Cloud, commented on the results: "Q2 FY26 was a quarter of stability, consolidation, and continued execution strength. Despite a dynamic market landscape, we maintained consistent revenues and profitability, demonstrating the resilience of our diversified business model."

He added, "As we move into the second half of the fiscal year, we are entering a phase of measured expansion. Our focus remains on scaling innovation in AI, cloud, and analytics through our Telangana innovation hub, while exploring selective inorganic acquisitions that complement our product portfolio and deepen our domain presence."

Future Outlook

Magellanic Cloud expects Q3 and Q4 to reflect a stronger growth trajectory, supported by execution of its existing order book and new opportunities in defense, fintech, and smart infrastructure. The company's direction is clear: build for scale, lead with innovation, and sustain value creation.

With its strong financial performance and strategic initiatives, Magellanic Cloud Limited is well-positioned to capitalize on the growing demand for digital transformation and advanced surveillance solutions in the coming quarters.

Magellanic Cloud Limited , a prominent player in the technology sector, has reported a significant corporate action involving its promoter, Joseph Sudheer Reddy Thumma. According to the latest disclosure, Thumma has created pledges on a substantial portion of his shareholding in the company.

Pledge Details

The pledges, created between October 28-29, 2025, involve a total of 45,133,182 shares, representing 7.72% of the company's share capital. This move appears to be part of a strategy to secure loans, with the pledged shares serving as collateral.

Breakdown of Pledged Shares

The pledges have been created with various entities, as detailed in the following table:

Promoter Shareholding

Joseph Sudheer Reddy Thumma, who is a key promoter of Magellanic Cloud Limited, holds a significant stake in the company:

• Total shares held: 231,541,120
• Percentage of total share capital: 39.62%

It's worth noting that other promoters of the company, including Jagan Mohan Thumma and Dennis Reddy Thumma, also have existing encumbrances on their holdings.

Implications

While share pledging is a common practice among promoters to raise capital, it can sometimes be viewed as a potential risk factor by investors. The pledging of shares by promoters may be closely watched by market participants, as any default on the associated loans could potentially lead to a change in shareholding pattern or impact stock price volatility.

Company Background

Magellanic Cloud Limited, formerly known as South India Projects Limited, is a technology company with operations spanning across various subsidiaries in India, the USA, and Canada. The company's board recently approved its unaudited financial results for the quarter and half-year ended September 30, 2025, demonstrating its ongoing commitment to transparency and regulatory compliance.

Investors and stakeholders are advised to monitor further developments and disclosures from the company regarding this share pledge and its potential implications on the company's financial strategy and governance.