Fractal Q1 FY27 revenue rises 20% to Rs 913 crore, profit jumps 92%
24 Jul 2026, 12:25 PMIts research and development (R&D) expenditure jumped 28% to Rs 41 crore during the quarter from Rs 32 crore in the same quarter in the previous fiscal.
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AI and advanced analytics firm Fractal reported a 20% increase in revenue from operations to Rs 913 crore in the April-June quarter of this fiscal ending on March 31, 2027 from Rs 761 crore in the corresponding quarter of the previous fiscal.
The company's net profit surged 92% to Rs 72 crore in Q1 FY27 from Rs 38 crore in Q1 FY26, according to its quarterly disclosures filed with the stock exchanges.
Fractal's total expenses increased to Rs 818 crore during the quarter from Rs 699 crore in the same period previous fiscal. Employee expenses rose to Rs 632 crore during the quarter ended June from Rs 554 crore in the same period a year ago.
Its research and development (R&D) expenditure jumped 28% to Rs 41 crore during the quarter from Rs 32 crore in the same quarter in the previous fiscal.
On a sectoral basis, the company said that its largest industry Consumer Packaged Goods and Retail (CPGR) continued to gather momentum, growing 19% year-on-year during the quarter but TMT declined 22%.
"Enterprises are putting real transformation budgets behind AI now and we're seeing it directly in the size of the deals coming to us. TMT was the drag on our headline growth this quarter. Excluding TMT, our business grew 35% year on year, which is a better read on the underlying demand we're seeing," said Srikanth Velamakanni, group CEO and executive vice chairman, Fractal.
Founded in 2000 by Velamakanni and Pranay Agrawal, Fractal derives revenue from analytics and consulting services as well as AI-led software and platform offerings. Fractal made its stock market debut in February 2026 through a Rs 2,834 crore initial public offering (IPO) comprising a fresh issue and an offer for sale.
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