Tracxn Technologies Limited has announced its unaudited financial results for the third quarter of FY26 ended December 31, 2025, showing a challenging performance with the company reporting a net loss compared to profitability in the same quarter last year. The Board of Directors approved these results in their meeting held on February 05, 2026.

Financial Performance Overview

The company's financial performance showed a significant decline compared to the previous year. Revenue from operations decreased to Rs. 2,103.98 lakhs in Q3 FY26 from Rs. 2,139.31 lakhs in Q3 FY25, representing a year-on-year decline. Total income, including other income and gains, stood at Rs. 2,261.36 lakhs compared to Rs. 2,289.53 lakhs in the corresponding quarter of the previous year.

Expense Analysis and Profitability

Total expenses increased to Rs. 2,278.81 lakhs in Q3 FY26 from Rs. 2,098.39 lakhs in Q3 FY25. Employee benefit expenses, the largest component, rose to Rs. 2,007.32 lakhs from Rs. 1,863.51 lakhs year-on-year. Other expenses increased to Rs. 266.94 lakhs from Rs. 231.06 lakhs in the corresponding quarter.

The company reported a loss before exceptional items and taxation of Rs. 17.45 lakhs compared to a profit of Rs. 191.14 lakhs in Q3 FY25. After accounting for exceptional items of Rs. 94.10 lakhs related to statutory impact of new Labour Codes, the loss before taxation widened to Rs. 111.55 lakhs.

Nine-Month Performance

For the nine months ended December 31, 2025, Tracxn Technologies reported revenue from operations of Rs. 6,348.86 lakhs compared to Rs. 6,332.66 lakhs in the corresponding period of the previous year. The net loss for the nine-month period was Rs. 525.67 lakhs against a loss of Rs. 196.46 lakhs in the same period last year.

Key Corporate Developments

The company's Board of Directors also approved revisions to several important policies during the meeting, including the Policy on Related Party Transactions, Code of Conduct for Prevention of Insider Trading, Code on Fair Disclosure and Legitimate Purpose, and Code on handling leak of UPSI. These revised policies became effective from February 05, 2026.

During Q3 FY26, the company allotted 241,772 equity shares to employees under its ESOP scheme. The paid-up equity share capital stood at Rs. 1,065.98 lakhs as of December 31, 2025, with ESOPs outstanding aggregating to 3,739,036 shares.

Impact of New Labour Codes

A significant factor affecting the quarter's performance was the implementation of new Labour Codes notified by the Government of India on November 21, 2025. The company recognized an exceptional item of Rs. 94.10 lakhs representing the incremental impact of these codes, consisting of gratuity of Rs. 75.65 lakhs and long-term compensated absences of Rs. 18.45 lakhs, primarily arising due to changes in the definition of wages.

Tracxn Technologies Limited , a data and software platform for global private markets, has announced another significant allotment under its Employee Stock Option Plan (ESOP) 2016. The company has allotted 81,629 equity shares to eligible grantees following the exercise of stock options.

Latest Equity Share Allotment Details

The Nomination and Remuneration Committee approved the allotment through a circular resolution dated January 08, 2026. The key details of this allotment are presented below:

Impact on Share Capital

The latest allotment has further increased the company's paid-up share capital:

ESOP Exercise Terms

The stock options exercised were part of the TRACXN Employee Stock Option Plan 2016, which allows eligible employees to exercise their options within five years from the date of vesting. The newly allotted shares rank pari passu with existing equity shares, ensuring equal rights for all shareholders.

Financial Impact

The company reported diluted earnings per share of ₹(0.52) per share for the quarter ended September 30, 2025. The equity shares arising from the option exercise are not subject to lock-in restrictions except those imposed under applicable laws.

This allotment represents Tracxn Technologies' continued commitment to its employee incentive programs, following previous allotments under the same ESOP scheme that help attract and retain talent in the competitive data and software industry.