Financials
Firstsource Solutions reports strong Q2 FY25 growth despite market headwinds
Firstsource Solutions Limited, a prominent player in business process services under the RP-Sanjiv Goenka Group, delivered a commendable Q2 FY25 performance, showcasing resilience amid market challenges. The company reported a revenue of Rs 19,254 million (US $230 million) for the quarter ending 30 September 2024, marking a robust 25 per cent increase year-on-year. Profit after tax (PAT) rose by 9.3 per cent to Rs 1,382 million, underscoring steady profitability despite economic pressures.
The results reflect a consistent growth trajectory, with Firstsource raising its FY25 constant currency revenue growth guidance to 19.5-20.5 per cent, up from the previous 11.5-13.5 per cent estimate. Operating margins for the fiscal year are projected to stabilise between 11-11.5 per cent, excluding acquisition-related charges.
The company attributed its growth to strategic contract wins across sectors. These included a transformative multi-tower deal with a leading Australian telecom company and a five-year digital transformation engagement with a top five US mortgage provider. The healthcare vertical reported the addition of five new clients, expanding its reach in revenue cycle management. Communication, Media, and Technology segments also performed strongly, securing new clients, including a major US online marketplace.
Firstsource’s acquisition of Ascensos, a UK-based customer experience outsourcing company, was a significant highlight, further enhancing the company’s nearshore capabilities and expanding its retail sector footprint. This acquisition, valued at GBP 42 million, will contribute around 5 per cent to revenue growth over seven months of FY25.
The quarter saw EBIT reach Rs 2,081 million, growing 27.3 per cent YoY, with an EBIT margin of 10.8 per cent. This was achieved despite one-time charges, highlighting strong operational efficiencies. For the half-year ending September 2024, revenue rose 21.1 per cent YoY to Rs 37,165 million, while PAT climbed 8.3 per cent to Rs 2,735 million, reflecting the company’s ability to balance growth investments with profitability.
Employee benefits expenses rose to Rs 12,104 million in Q2, up from Rs 9,402 million in the same period last year, driven by increased headcount and talent investments. Attrition showed signs of improvement, falling to 31 per cent as a result of the company’s retention initiatives.
Amid economic uncertainty, Firstsource continued to outperform the market through strategic expansion and sectoral diversification. The banking and financial services segment delivered revenue growth to Rs 6,641.56 million, while the Healthcare division saw revenue surge 39 per cent to Rs 7,025.18 million.
The company’s focus on automation and AI-driven solutions positioned it to meet clients’ evolving needs. This included launching new language models for mortgage processing and expanding digital collections platforms.
Looking ahead, Firstsource remains optimistic, guided by a strategy that emphasises client-centric growth, technology investments, and sustainable business practices. The company’s recent ESG report for FY24 and inaugural TCFD report further underscore its commitment to transparent governance and responsible growth.
MUMBAI: It’s time to brief the markets: Page Industries is showing that even when regulations tighten, it can still keep its footing in the innerwear business. The Bengaluru-based apparel major has reported its financials for the quarter ended 31 December 2025, delivering a performance that remains steady and well put together.
The company’s top line showed plenty of elasticity this quarter. Revenue from operations stretched to Rs 1,38,675.71 lakhs, a healthy jump from the Rs 1,29,085.82 lakhs reported in the preceding quarter. Compared to the same period last year, which stood at Rs 1,31,305.10 lakhs, it’s clear the brand’s grip on the market isn’t loosening. Total income for the quarter, including other finance gains, reached a comfortable Rs 1,39,919.03 lakhs.
However, it wasn’t all smooth silk. The Government of India’s new unified Labour Codes, covering everything from wages to social security, officially kicked in on 21 November 2025. This regulatory shift forced Page Industries to account for a one-time “exceptional item” cost of Rs 3,500.42 lakhs to cover incremental employee benefits and related obligations. Despite this Rs 35-crore legislative snag, the underlying business remained robust. Profit before tax stood at Rs 25,625.35 lakhs after the exceptional hit, and without that one-off cost, the figure would have been a more muscular Rs 29,125.77 lakhs. Net profit for the quarter came in at Rs 18,953.64 lakhs.
Total expenses rose to Rs 1,10,793.26 lakhs, driven largely by raw material consumption of Rs 30,162.65 lakhs and employee benefits of Rs 23,310.66 lakhs. Even so, the company’s operational strength ensured the bottom line remained firmly stitched together.
For shareholders, the news is particularly “fitting.” The Board has declared a third interim dividend for 2025-26 of Rs 125 per equity share. The record date has been set for 11 February 2026, with the payment scheduled on or before 6 March 2026. This follows two previous interim dividends of Rs 150 and Rs 125 declared earlier in the financial year, reinforcing the company’s commitment to sharing the spoils of its success.
Looking at the nine-month stretch ending December 2025, Page Industries has amassed total income of Rs 4,04,090.59 lakhs, with total comprehensive income of Rs 58,231.49 lakhs. While the basic earnings per share for the quarter dipped slightly to Rs 169.93, compared to Rs 183.48 in the same quarter last year, the year-to-date EPS remains a solid Rs 524.57.
Auditors at S.R. Batliboi & Associates LLP have given the results a “limited review” thumbs up, reporting no material misstatements. It seems that, as far as Page Industries is concerned, the business remains as well-constructed as its famous Jockey briefs.
