XTGlobal Infotech Limited announced its unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, following a Board meeting held on February 14, 2026. The IT services company demonstrated steady performance across key financial metrics while executing strategic corporate actions.

Standalone Financial Performance

The company's standalone operations showed resilient performance during the quarter. Revenue from operations reached ₹1,783.60 lakhs in Q3FY26, representing a marginal decline from ₹1,798.55 lakhs in the previous quarter but an improvement over ₹1,736.07 lakhs in the corresponding quarter of the previous year.

For the nine-month period ended December 31, 2025, standalone revenue from operations was ₹5,359.51 lakhs compared to ₹5,428.00 lakhs in the corresponding period of the previous year. Net profit after tax for the nine months stood at ₹488.17 lakhs versus ₹483.85 lakhs in the previous year.

Consolidated Financial Results

On a consolidated basis, the company demonstrated stronger performance with significantly higher revenue contribution from subsidiaries. Consolidated revenue from operations reached ₹9,248.77 lakhs in Q3FY26 compared to ₹4,904.69 lakhs in Q3FY25, reflecting the full consolidation impact of Network Objects Inc, which became a subsidiary from December 31, 2024.

Employee Stock Benefit Scheme Implementation

The Board approved a significant corporate action involving the allotment of 5,61,500 equity shares under the XTGlobal Infotech Limited Employees Stock Benefit Scheme - 2020. This allotment comprises:

• 3,24,000 shares through exercise of vested ESOPs at ₹20 per share (₹1 face value and ₹19 premium)
• 2,37,500 shares through exercise of vested RSUs at ₹1 per share

The ESOP and RSU expenses resulted in additional employee costs of ₹37.00 lakhs for the current quarter and ₹174.92 lakhs for the nine-month period, with corresponding increases in company reserves.

Key Corporate Developments

Several notable developments occurred during the reporting period:

• SEZ Exit Completion: The company successfully exited its SEZ unit at Visakhapatnam, with approval received on September 22, 2025. This resulted in GST input tax benefit recovery of ₹6,32,58,370, which was capitalized to respective assets.
• Subsidiary Consolidation: Network Objects Inc became a subsidiary from December 31, 2024, when XTGlobal increased its stake from 44.33% to 51.33%, leading to full consolidation from January 1, 2025.
• Labour Code Compliance: The company evaluated the impact of new Labour Codes notified on November 21, 2025, and concluded no significant material impact.

Shareholding Structure

The company maintains a stable shareholding pattern with promoters and promoter group holding 62.81% of the total share capital through 8,38,86,804 non-encumbered shares. Public shareholding stands at 37.19% with 4,96,75,401 shares. The paid-up equity share capital remains at ₹1,335.62 lakhs with a face value of ₹1 per share.

The financial results were reviewed by the Audit Committee and approved by the Board of Directors, with statutory auditors providing unmodified limited review reports for both standalone and consolidated results. The company operates primarily in the IT/ITES segment and continues to focus on its core technology services business.

Xtglobal Infotech Limited has formally disclosed the signing of a term sheet for a proposed acquisition in the IT/ITES sector through a regulatory filing dated January 16, 2026. The disclosure, made under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, provides comprehensive details about the strategic acquisition.

Regulatory Compliance and Disclosure

The company has submitted the disclosure to both BSE (Scrip Code: 531225) and NSE (Symbol: XTGLOBAL), ensuring full compliance with regulatory requirements. Company Secretary and Compliance Officer Sridhar Pentela signed the disclosure, emphasizing the company's commitment to transparent corporate governance.

Acquisition Structure and Timeline

The target entity operates primarily in the United States IT/ITES sector and is described as being of moderate scale. The acquisition is structured to support strategic growth, business expansion, and operational synergies, strengthening the company's overall business profile.

Strategic Implications

The proposed acquisition does not constitute a related party transaction, with promoters and group companies having no interest in the target entity. The transaction is being conducted at arm's length, ensuring fair valuation and transparent dealings.

Certain commercial details, including the target entity's size, turnover, and financial performance for the past three years, remain confidential due to commercial sensitivity and confidentiality obligations under the term sheet. The company has committed to making further disclosures upon execution of definitive agreements and transaction completion.

Next Steps

The acquisition remains subject to completion of due diligence, execution of definitive agreements, and receipt of necessary statutory, regulatory, and governmental approvals. The company will provide updated disclosures as the transaction progresses through these critical phases.