eMudhra's Profitability Gains Offset a Mild Sequential Revenue Dip
The digital trust leader posted strong yearly profit growth of 28%, with margins improving sequentially despite a slight drop in quarterly revenue.
eMudhra's Q1 FY27 results show a resilient profit performance. While revenue dipped slightly from the previous quarter, profit grew over 8%, driving a meaningful improvement in net profit margin.
eMudhra has kicked off FY27 with a quarter of robust profitability, even as its top line took a small step back. The digital trust and enterprise solutions provider saw profit after tax (PAT) rise 8.2% sequentially to ₹32 crore, a solid performance that lifted the net profit margin significantly. This comes against a backdrop of sustained, strong annual growth, with both revenue and profit up nearly 30% compared to the same quarter last year.
The latest results highlight a quarter of operational efficiency. While quarterly revenue eased 1.4% from the March 2026 quarter to ₹190.72 crore, the company managed to expand its net profit margin to 16.8%, up from 15.3% in Q4 FY26. This sequential margin expansion suggests effective cost management. On a year-on-year basis, the story is one of powerful growth, with revenue surging 29.5% and profit climbing 27.9%.
A look at the last five quarters shows a clear upward trajectory in the company's financial scale.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Period | Jun 2026 | Mar 2026 | Jun 2025 |
| Revenue (₹ Cr) | 190.72YoY +29% | 193.4 | 147.3 |
| Profit (₹ Cr) | 32.0YoY +28% | 29.57 | 25.02 |
| Net Profit Margin (%) | 16.8YoY -1.2% | 15.3 | 17.0 |
Revenue has climbed steadily from a base of ₹147 crore a year ago, while profits have followed a consistent upward path. The trailing twelve-month (TTM) figures further confirm the growth story, with revenue at ₹745 crore and profit at ₹117 crore, translating to a TTM net profit margin of 15.7%.
Key Points
- The company maintains a fortress balance sheet with negligible debt, reflected in a debt-to-equity ratio of just 0.03.
- Returns on capital remain healthy, with a Return on Capital Employed (ROCE) of 16.23%.
- The stock trades at a P/E of 28.2, a premium to the IT industry average of 19.5, reflecting investor expectations for its growth in digital trust and AI security.
After a challenging year for the share price, the focus now shifts to whether this quarter's improved profitability marks a sustainable shift for the business.
Live Chart
· EMUDHRA
(BSE)
ISIN: INE01QM01018
Also read
Want this applied to your portfolio?
Talk to a HexaWealth advisor, or sync your mutual fund data for insights tailored to your holdings.