Reports strong PBT margin growth of 10.7% QoQ and 20.9% YoY
BANGALORE, India, April 21, 2026 /PRNewswire/ -- Tata Elxsi (BSE: 500408) (NSE: TATAELXSI), amongst the world's leading providers of design led technology services, announced its fourth quarter results for the period ending 31st March 2026.
For the fourth quarter of financial year 2025-26, the company reported operating revenue of Rs. 993.8 Cr. while the full year revenue was Rs. 3,757.4 Cr.
Highlights of the Quarter Ended 31st March 2026:
- Revenues from operations at Rs. 993.8 Cr. compared to 953.5 Cr in Q3'26
- EBITDA at 244.6 Cr, growing 10.0% QoQ*; EBITDA Margin at 24.6%
- Profit Before Tax (PBT) at Rs. 267.8 Cr, growing 10.7% QoQ* and 20.9% YoY; PBT Margin at 25.6%
- Profit After Tax (PAT) at Rs. 220.4 Cr, growing 23.1% QoQ* and 27.8% YoY; PAT Margin at 21.1%
* Q3'26 and FY'26 margins exclude one-time exceptional item due to new labour code
Dividend related announcement:
The Board of Directors have recommended a final dividend of 750% (Rs. 75 per equity share of par value of Rs. 10 each) for the financial year ending 31st March 2026, subject to approval by the shareholders of the company at the upcoming Annual General Meeting.
Mr. Manoj Raghavan, CEO and Managing Director, Tata Elxsi, commenting on the company's performance in the fourth quarter of FY'26, said:
"For the fourth quarter of FY'26, Tata Elxsi reported operating revenue of Rs. 993.8 crores and PBT margin at 25.6%. We ended FY'26 with a revenue of Rs. 3,757.4 crores and PBT margin of 23.4%. The company registered a healthy QoQ growth of 4.2%.
Our Media & Communications business, which accounted for 32.7% of revenue during the quarter, registered a strong growth 5.6% QoQ in constant currency terms over the previous quarter. This growth was led by continued deal ramp-ups, a strategic deal for AdTech and a Tier 1 US Telco win. In the quarter, we also won a multi-year large deal from a world leading device OEM for its portfolio of video and broadband products. This strategic deal reinforces Tata Elxsi's position as a global leader in device engineering for media and telecom.
In our transportation business, while our revenues in Q4'26 consolidated after a strong 7.3% QoQ constant currency in Q3'26, we are delighted with two strategic wins - one in APAC region from a new-age OEM, and another from the US from a next-generation mobility services company. These multi-year deals underscore the pivot towards SDV and OEM business, with OEM business now representing 77% of overall revenues for our transportation business.
During the quarter, we launched an Offshore Development Centre for Terumo, the Japanese MedTech leader, to accelerate innovation and development of cardiac and vascular medical devices. This center brings together multi-disciplinary teams across design, engineering and software, enhanced by the latest AI and GenAI-powered technologies, to help Terumo bring next-gen medical technologies to global and emerging markets.
During FY'26, Tata Elxsi accelerated its enterprise-wide GenAI adoption, marked by the launch of DevStudio.ai and partnerships with leading AI companies, to embed AI responsibly across engineering, design, and delivery. With strong governance around data security, IP protection, and compliance, these initiatives are scaling beyond pilots to deliver measurable productivity gains, faster time-to-market, and improved customer outcomes. By combining domain-led AI, talent enablement, and platform-based accelerators, Tata Elxsi is strengthening its innovation quotient, long-term competitiveness, depth of client engagements, and margin expansion.
I am pleased with our sustained and strong operational performance through segment-leading offshore delivery, a continued transition to fixed-bid project ownership, and the systematic and enterprise-wide adoption of AI-enabled efficiencies. These levers strengthened execution discipline and productivity, driving consistent margin improvement through the year.
We closed the financial year with a consistent performance, reflecting improved execution, disciplined cost management, and continued confidence from our global customers. Growth traction across our core verticals, supported by increasing large deal wins, strong customer additions, and sustained investments in AI-led platforms and digital engineering, positions us well for the year and beyond. As we enter the next financial year, we remain focused on scaling our differentiated design-led and AI-enabled offerings, strengthening operational leverage, and driving sustainable growth and healthy margins."
About Tata Elxsi
Tata Elxsi is amongst the world's leading providers of design and technology services across industries including Automotive, Broadcast, Communications, Healthcare and Transportation.
Tata Elxsi is helping customers reimagine their products and services through design thinking and application of digital technologies such as IoT (Internet of Things), Cloud, Mobility, Virtual Reality and Artificial Intelligence. For more information, please visit www.tataelxsi.com
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SOURCE Tata Elxsi
