Coforge Ltd — Q4 FY26
Coforge delivered a strong FY26 with 29.2% USD revenue growth, driven by broad-based vertical strength (healthcare +98%, travel +62%) and 21 large deal wins.
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
79%Questions answered1Evaded / deflected12Questions auditedContradictedNumbers vs filing
Evasive
High priority
Does the order book conversion multiple still hold for FY27 growth of 18-19%?
Asked by Abhishek, Motilal Usual
Management declined to give a specific growth number or confirm the conversion multiple, citing environment challenges.
no number givenrefused to confirm multipledeferred to qualitative confidence
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Question
if I apply a conservative revenue conversion multiple to your 12-month forward executable order book I arrive at a very punchy FY27 growth number of almost 18 19%... does the previous 1.3 1.4 multiple to your 12-month order book still hold?
Sudhir Singh (CEO)
the intent is to deliver a robust growth but the intent is equally not to classify that or to offer hard numbers around it... the environment is challenging and yet the confidence is high that we should be able to deliver industry-leading growth
Partial answer
High priority
How much of EBIT margin upgrade is from AI vs pricing?
Asked by Abhishek, Motilal Usual
Management attributed the margin improvement to AI but did not quantify the split between AI and pricing.
no quantificationattributed to AI broadly but no split
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Question
how much of the ebit margin upgrade is down to AI usage internally and how much of it is down to pricing and getting into more identified solutions?
Sudhir Singh (CEO)
the EBIT reset in quarter 4 has been a structural reset. It has come off the back of the automation and AIEL interventions... our GNA costs have in absolute terms to be held constant and it is AI based interventions that are allowing us to do it.
Answered
Medium priority
What prompted the hedge reclassification?
Asked by Abhishek, Motilal Usual
Management explained the reclassification was to align with market peers and auditors' advice.
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Question
despite the hedgebook reclassification side what prompted that change and any guidance on that?
Sorup (CFO)
we were working with our auditors. I think we thought it is better to do it towards the year end wherein you look at this change and so that the reporting gets aligned more to market peers
Partial answer
High priority
How should growth cadence pan out without last year's mega deal tailwind?
Asked by Sulab Goa, Morgan Stanley
Management did not provide a quantitative cadence but pointed to framework agreements as a new tailwind.
no specific cadence givenqualitative only
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Question
last year we had a tailwind of the mega deal... this year given that we do not have a tailwind of that level how should we expect the growth to pan out particularly from a cadence perspective?
Sudhir Singh (CEO)
we believe the tailwind comes from framework agreements that we have signed and not recognized under the order executable... we've already signed a material framework engagement. We think we will in reasonably short order sign bigger framework agreements.
Answered
High priority
What are the drivers for FCF conversion guidance increase to 100%?
Asked by Sulab Goa, Morgan Stanley
Management clearly explained the operational improvements driving higher FCF conversion.
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Question
just trying to understand this change of 60 to 70% going to 100%. What are the specific drivers to that?
Sorup (CFO)
the rigor that we have brought in within the organization in terms of the way collections are being followed, the way payables are being managed and the way contracts are being structured. We believe that 100% is the bare minimum FCF to PAT will deliver in FY27
Answered
Medium priority
Will AI opportunity expand the overall IT industry?
Asked by Vibhor Singh, Noama Equities
Management gave a clear affirmative view on industry expansion with specific AI demand drivers.
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Question
do you believe that this AI opportunity will actually lead to an overall expansion for the industry also?
Sudhir Singh (CEO) and Vikas Gupta (AI practice head)
the tech services industry perforce has to do well. There is a clear need for AI ready data pipelines... agent life cycle management... managed services to monitor models and to govern agents.
Partial answer
Medium priority
Will mid-tier players benefit more in this AI cycle vs last cloud cycle?
Asked by Vibhor Singh, Noama Equities
Management did not directly compare mid-tier vs tier-1 but highlighted their own strengths.
no direct comparison to tier-1qualitative only
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Question
do you believe that in this cycle because those mid-tier players... we now reached a size and the capabilities... the beneficiaries of this cycle would actually be different than what they were in the last cycle?
Sudhir Singh (CEO)
firms that ride those waves are firms that will continue to do well... we are faster to execute, nimble to change and client intimacy is an important aspect.
Answered
High priority
Do you foresee headwinds in travel vertical due to Gulf War/crude?
Asked by Vibhor Singh, Noama Equities
Management gave a specific quantitative reassurance and denied any material headwind.
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Question
given the Gulf War that is going on right now given where crude is do you foresee a headwind in that vertical in the immediate future?
Sudhir Singh (CEO)
the travel vertical continues even in the short term to do really well... the impact of spirit airlines on Coforge is negligible to none. The budgeted revenue from that airline was about 10 bips for fiscal year 27.
Answered
High priority
What is the revenue impact of discontinuing India business in Q1?
Asked by Vibhor Singh, Noama Equities
Management provided a specific dollar range for the revenue impact.
Read the exchange
Question
could you quantify what would be the amount of that business which we are intending to discontinue from Q1?
Sorup (CFO)
it should have a impact of roughly 15 to 20 million in pass through in quarter one itself.
Answered
Medium priority
What is the annual amortization amount?
Asked by Vibhor Singh, Noama Equities
Management gave a clear dollar figure for annual amortization.
Read the exchange
Question
what is the amortization that we looking at on an annual basis in terms of absolute dollar or rupee amount?
Sorup (CFO)
roughly $40 million a year.
Answered
Medium priority
What is the hedge loss in OCI after accounting change?
Asked by Deep Ma, MK Global
Management provided the specific OCI number (164 crores) and clarified it's unchanged.
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Question
what would be the hedge losses in OCI considering the way we now change the accounting practice?
Sorup (CFO)
the OCI won't change I think it's just that the hedge loss in the other income will be 164 crores which is already there as part of fact sheet.
Answered
Medium priority
Will there be near-term revenue headwinds in product engineering from AI?
Asked by Ravi Menon, Access Capital
Management clearly denied any near-term headwinds and gave a positive growth outlook.
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Question
do you understand if there will be some near-term hindrance especially in the product engineering side... could we see some pressures?
Sudhir Singh (CEO)
the answer is no. The high-tech business of Enora... we expect the high-tech business... starting Q1 itself start growing and grow handsomely through the fiscal year 27.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| Revenue impact of discontinuing India business is $15-20 million in Q1 | 15 | 4,450 | Understated vs filing |
| EBIT margins would be 16.5-17% without amortization | 16.5% | 18.6% | Understated vs filing |
| India discontinued business generated $40-45 million last year | 40 | 4,450 | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.