Persistent Systems · forward-looking guidance across the available source record.
Guidance tracker
The company reiterated its aspiration to reach $2 billion in revenue by the end of FY27, driven by continued deal wins, ramp-ups from recent large engagements, and AI-driven transformation opportunities across verticals.
Management indicated approximately 100 basis points of EBITDA margin improvement for FY26, building on the 230bps expansion already achieved in Q2. Q3 will face 180bps headwind from wage hikes with 80-100bps offset expected.
Following FY26's ~100bps improvement, the company targets another ~100bps in FY27, completing the 200-300bps expansion trajectory announced two years ago. Post-FY27, growth becomes the priority focus.
The company filed 20 new patents for its SASA generative AI digital engineering platform this quarter, bringing the total to 75 patents. SASA enables on-premise deployment for regulated industries and optimized GPU infrastructure.
Management reaffirmed the $2 billion annual revenue target by March 2027, on track with current growth trajectory.
Long-term aspiration of $5 billion annual revenue by March 2031 (sic - likely 2031), based on current strategic initiatives and market expansion.
Effective tax rate for FY26 will be in the range of 22-24%, with management noting ETR should be evaluated on an annual basis.