Firstsource Solutions raised the low end of its fiscal 2027 revenue growth range after a 22.2% year-over-year quarterly increase, lifting its expected growth floor to 10.5% as it sustained a run of sequential expansion.
Firstsource describes itself as a global business-process services partner serving health care, banking, communications, technology, retail and utilities. Revenue in the quarter ended Sept. 30, Q2FY27, reached ₹28,256 million ($296 million), up 22.2% from the year-earlier period. EBIT was ₹3,521 million, equal to 12.5% of revenue. Profit after tax totaled ₹2,328 million, or 8.2% of revenue, while diluted earnings per share were ₹3.31.
The company raised the lower boundary from its earlier forecast of 10% to 13%, issued in May. Its updated FY27 expectation is growth between 10.5% and 13% in constant-currency terms. Firstsource left its EBIT margin outlook at 12.25% to 12.75%.
Firstsource said revenue had risen from the preceding quarter for the 12th period in a row, while margins expanded for an eighth straight quarter. It signed four large deals, its seventh successive quarter with at least four such wins. The company added 17 new logos, including six strategic accounts, and recorded a net headcount increase of 3,062 during the quarter.
Livemint reported that Anand Rathi set a 12-month target of ₹384 for Firstsource shares. Livemint said the target implied 25.5% upside from a share price around ₹305. Livemint attributed the brokerage’s view to projected 16.2% annual growth in adjusted earnings per share between FY27 and FY29, along with expansion of AI-led workflows through Kairos.
Livemint also reported the brokerage’s view that banking and financial services growth offset weaker health-care performance, while wage increases and upfront onboarding weighed on margins. The outlet said Anand Rathi cited possible delays as deals ramped in stages and said incremental AI monetization remained unproven.
