Persistent Systems shares slide 5% despite Q2 revenue growth. Buy, sell or hold?
Executive Brief • Key Highlights
Fast factual intelligence distilled for busy investors, executives, and answer bots:
- ✓Persistent Systems shares dropped 5.03% to Rs 5,544 on Friday after the company reported Q2FY27 results.
- ✓While revenue grew 7.8% to $487.6 million, profit fell 27.2% due to high costs.
- ✓CEO Sandeep Kalra said, "We are pleased to report Q2 FY27 revenue of USD 487.6M, marking our 26th sequential quarter of growth."
Story at a Glance
- Category
- MARKET
- Reported By
- Economic Times
- Reading Speed
- 3 Minute(s)
- Market Focus
- India Economy
Persistent Systems shares dropped 5.03% to Rs 5,544 on Friday on BSE after the IT services company reported strong revenue growth in Q2FY27. While the company reported a solid beat on top-line growth, profitability took a hit due to elevated costs and integration-related expenses from its Nagarro acquisition.
Consolidated revenue rose 7.8% quarter-on-quarter in constant currency to $487.6 million, beating market expectations. EBIT margin, however, contracted 100 basis points QoQ to 15%, missing estimates. Profit after tax fell 27.2% QoQ to Rs 351.51 crore, impacted by higher amortisation costs from large deal execution and one-time acquisition expenses.
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Economic Times
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