Coforge reported a remarkable revenue of ₹4,450.4 crore for Q4 FY26—this represents a 30% increase year-over-year. In dollar terms, the revenue stood at $489.1 million, marking a 21.2% rise from the previous year. Such figures underscore the company’s strategic focus on leveraging AI to boost productivity.

The company’s EBITDA for this quarter reached ₹916.8 crore, achieving an impressive EBITDA margin of 20.6%. Notably, Coforge’s EBIT margin hit 16.6%, its highest-ever quarterly margin. This upward trend in profitability has attracted attention from analysts, with 70% recommending a Buy rating.

Coforge’s total order intake for FY26 amounted to $2,262 million, and its executable order book over the next 12 months stands at $1.75 billion—up 16.4% year-on-year. Such metrics indicate a solid foundation for continued growth as management anticipates robust revenue growth in FY27.

Sudhir Singh, Coforge’s CEO, remarked on the exceptional performance: “FY26 marked another year of exceptional performance for Coforge. We delivered strong YoY growth at 29.2% and expanded EBIT margins materially by 370 bps to 14.4%.” This statement reflects confidence in the company’s trajectory amid evolving market conditions.

However, uncertainties linger regarding how AI will affect traditional IT services pricing models moving forward. While analysts like Motilal Oswal view Coforge as a structurally strong mid-tier player—supported by improving margins and steady demand—investors should watch whether the company can sustain its Q4 EBITDA margin of 20.6%.

The market remains optimistic about Coforge’s future potential; Motilal Oswal has set a target price of ₹1,800 for the stock, while Nuvama aims even higher at ₹2,200—indicating significant upside potential based on enhanced profitability and cash flows.

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