IT Software Products company Capillary Technologies India announced Q1FY27 results Consolidated Financial Highlights: Revenue from Operations: The company reported revenue of Rs 2,566.44 million in Q1FY27, marking a YoY growth of 42.66% from Rs 1,798.93 million in Q1FY26 and a QoQ increase of 34.13% from Rs 1,913.46 million in Q4FY26. Total Income: Total income for Q1FY27 stood at Rs 2,623.52 million, up by 44.90% YoY compared to Rs 1,810.56 million in Q1FY26. On a QoQ basis, it grew by 32.47% from Rs 1,980.52 million in Q4FY26. Profit Before Exceptional Items and Tax: The company achieved a profit of Rs 247.98 million (before exceptional items) in Q1FY27, registering a massive YoY growth of 4,392.39% from Rs 5.52 million in Q1FY26. QoQ, this grew by 41.58% from Rs 175.15 million in Q4FY26. Net Profit/Loss for the Period: The company recorded a net loss of Rs 95.52 million in Q1FY27, compared to a net profit of Rs 7.45 million in Q1FY26 and a net profit of Rs 433.64 million in Q4FY26. Total Comprehensive Income/Loss: For Q1FY27, the company reported a total comprehensive loss of Rs 66.89 million, against a total comprehensive income of Rs 66.49 million in Q1FY26 and Rs 731.39 million in Q4FY26. Standalone Financial Highlights: Revenue from Operations: Standalone revenue for Q1FY27 was Rs 642.87 million, an increase of 51.89% YoY from Rs 423.25 million in Q1FY26. On a QoQ basis, revenue saw a marginal decline of 1.13% from Rs 650.23 million in Q4FY26. Total Income: Total standalone income stood at Rs 689.52 million, up 61.17% YoY from Rs 427.83 million in Q1FY26. It recorded a QoQ decrease of 2.39% from Rs 706.41 million in Q4FY26. Net Profit/Loss for the Period: The standalone net profit for Q1FY27 was Rs 77.65 million, compared to a net loss of Rs 51.21 million in Q1FY26. On a QoQ basis, the profit decreased by 21.53% from Rs 98.95 million in Q4FY26. Business Highlights: Acquisition of Session M: Effective May 1, 2026, the company entered into a Stock Purchase Agreement with Mastercard International Inc. to acquire a 100% equity interest in Session M Inc. (USA) and Session M Czech Republic s.r.o., which are now step-down subsidiaries. Exceptional Loss (Cyber Fraud): During Q1FY27, the company reported an exceptional expense of Rs 333.86 million (EUR 3.04 million) due to a cyber-enabled banking fraud in its step-down subsidiary in the Czech Republic, involving unauthorised bank transfers. Exceptional Income (Compensation): The company received a compensation of Rs 249.60 million (CAD 3.88 million) as exceptional income during the quarter ended March 31, 2026, due to a breach of a Churn Indemnity Clause in a Purchase and Sale Agreement related to a US-based subsidiary. IPO Proceeds Utilization: The company received net proceeds of Rs 3,229.08 million from its IPO. As of June 30, 2026, it has utilised Rs 1,196.91 million, primarily towards funding cloud infrastructure costs (Rs 346.78 million) and inorganic growth through acquisitions (Rs 850.13 million). Expansion in Canada: Through its step-down subsidiary Capillary Technologies LLC, the company acquired customer contracts and relationships from Kognitiv US LLC for USD 23.44 million to enhance its loyalty business operations in the United States and Canada. Aneesh Reddy Boddu, Founder, MD & CEO, said: “We delivered a strong quarter, driven by Net Retention Rate (NRR) expansion, the continued addition of large enterprise clients globally, and the successful closure of the SessionM acquisition from Mastercard. Our proprietary AI platform, aiRA, is gaining traction, and we are actively leveraging AI to streamline customer migrations, and drive enterprise-wide productivity within Capillary. Moving forward, we remain committed to sustainable organic growth and profitability while prioritizing the seamless integration of SessionM’s team and clientele”. Result PDF