TATAELXSI Diversified 2026-04-??

Tata Elxsi Limited — Q4 FY26

Q: What was Tata Elxsi's revenue in Q4 FY26?

Tata Elxsi reported revenue of ₹994 Cr in Q4 FY26, a — change year-over-year.

Tata Elxsi reported Q4 FY26 revenue of ₹993.8 crore, growing 0.9% QoQ in constant currency, with EBITDA margin improving 130 bps sequentially to 24.6%.

neutral medium

Revenue ₹994 Cr

EBITDA —

PAT —

EBITDA Margin 24.6% +130bps

Duration —

Read Time 1 min read

Financial stats pending filing verification

2-Minute Summary

✦ AI-Generated from Full Transcript

Tata Elxsi reported Q4 FY26 revenue of ₹993.8 crore, growing 0.9% QoQ in constant currency, with EBITDA margin improving 130 bps sequentially to 24.6%. Transportation grew 2% QoQ, driven by OEM wins (now 77% of vertical revenue), while healthcare declined 13.1% due to delayed deal closures. Media & communication grew 5.6% on deal ramp-ups. Management guided for high single-digit growth in FY27 (down from earlier double-digit aspiration), citing geopolitical uncertainty and cautious client spending. Margin trajectory targets 27% exit margin by Q4 FY27 via operational efficiencies and AI adoption. Risk: healthcare recovery may slip further if deal closures continue to delay.

Key Numbers

Transportation QoQ Growth (CC) 2%

+2% QoQ

Transportation vertical grew 2% QoQ in constant currency, driven by OEM wins.

Healthcare QoQ Growth (CC) -13.1%

-13.1% QoQ

Healthcare declined 13.1% QoQ due to delayed deal closures; management expects recovery in Q1.

Media & Communication QoQ Growth (CC) 5.6%

+5.6% QoQ

Media & communication grew 5.6% QoQ, led by deal ramp-ups and a large multi-year win.

Utilization Rate 73%

~+3pp QoQ

Utilization improved to 73%, with headroom to reach 80%+ before aggressive hiring.

Management Guidance

FY27 revenue growth: high single-digit

Management expects high single-digit revenue growth for FY27, down from earlier double-digit aspiration, due to geopolitical uncertainty and delayed deal closures.

Management guidance revenue

EBITDA margin target: 27% exit by Q4 FY27

Management targets exiting FY27 with ~27% EBITDA margin, driven by operational efficiencies, utilization improvement, and AI adoption.

Management guidance margins

Healthcare recovery expected in Q1 FY27

Management expects healthcare vertical to recover in Q1 FY27 as delayed deals close, aiming for positive growth over Q2-Q3 combined.

Management guidance growth

Key Risks

Healthcare deal delays persist

Healthcare declined 13.1% QoQ due to deals slipping from Q4 to Q1; if closures continue to delay, recovery may be pushed further.

high · management_commentary

Geopolitical uncertainty impacting client spending

Management cited geopolitical tensions as a factor reducing visibility and pushing growth expectations to high single digits.

medium · management_commentary

AI-driven pricing pressure in media & telecom

Analyst raised concern about AI deflation; management acknowledged some aggressive competitor pricing but said it's not widespread yet.

medium · analyst_question

Revenue churn from project-based model

Management noted that 10-15% of revenue runs off every quarter due to project completions, requiring constant refilling of the funnel.

medium · data_observation

Notable Quotes

We are still not out of the woods in this particular industry segment.

Mano Raghavan · Managing Director and CEO

The real organic growth has been lacking if you ask me. Not very different. I think what's different for us is the fact that you'll see that consistent offshore track delivery.

Nitin Pai · Chief Marketing and Chief Strategy Officer

We are double clicking on value. I think what GenAI does coupled with domain expertise is that it allows you to move up the time to market and quality factors as much as cost.

Nitin Pai · Chief Marketing and Chief Strategy Officer

Frequently Asked Questions

What was Tata Elxsi's revenue in Q4 FY26?

Tata Elxsi reported revenue of ₹994 Cr in Q4 FY26, representing a — change compared to the same quarter last year.

What guidance did Tata Elxsi management give for FY27?

FY27 revenue growth: high single-digit: Management expects high single-digit revenue growth for FY27, down from earlier double-digit aspiration, due to geopolitical uncertainty and delayed deal closures. EBITDA margin target: 27% exit by Q4 FY27: Management targets exiting FY27 with ~27% EBITDA margin, driven by operational efficiencies, utilization improvement, and AI adoption. Healthcare recovery expected in Q1 FY27: Management expects healthcare vertical to recover in Q1 FY27 as delayed deals close, aiming for positive growth over Q2-Q3 combined.

What are the key risks for Tata Elxsi in FY27?

Key risks include Healthcare deal delays persist — Healthcare declined 13.1% QoQ due to deals slipping from Q4 to Q1; if closures continue to delay, recovery may be pushed further.; Geopolitical uncertainty impacting client spending — Management cited geopolitical tensions as a factor reducing visibility and pushing growth expectations to high single digits.; AI-driven pricing pressure in media & telecom — Analyst raised concern about AI deflation; management acknowledged some aggressive competitor pricing but said it's not widespread yet.; Revenue churn from project-based model — Management noted that 10-15% of revenue runs off every quarter due to project completions, requiring constant refilling of the funnel..

Did Tata Elxsi meet its previous quarter's guidance?

Scorecard data is being built as historical quarters are processed.

Where can I read the full Tata Elxsi Q4 FY26 concall transcript?

The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary with filing verification status shown on the financial stats.