Coforge Ltd.Record Growth & Encora Acquisition Set Stage

Coforge delivered strong Q3 FY26 performance with revenue reaching ₹41,881 million, registering 4.4% constant currency sequential growth and pushing year-to-date dollar revenue growth to an impressive 32.8%.

The company reported EBIT margin of 13.4%, up 191 basis points year-on-year, with an underlying margin of 14.4% excluding hedge losses. Management reaffirmed its pathway to 15% EBIT in Q4 and 14% for full-year FY26. The record executable order book of $1.72 billion, up 30% year-on-year, reflects exceptional sales momentum with 16 large deals signed in nine months versus 14 in all of FY25. Top-tier clients are driving growth, with top 10 accounts expanding 47% year-to-date.

The landmark $2.35 billion Encora acquisition is strategically pivotal, with financing finalized through $1.89 billion share swap and $550 million term loan, requiring no equity dilution and promising no EPS impact in FY27. Healthcare and Hi-tech vertical nearly doubled year-to-date, now contributing 10.5% of revenue. Free cash flow exceeded guidance at 110% of PAT. Management expressed high confidence, characterizing FY26 as very successful and positioning FY27 as exceptional.