ESDS Software Solution, a recently-listed enterprise cloud and AI company, reported a 14% year-on-year increase in net profit to ₹29.3 crore for the quarter ended June 30, 2026 (Q1 FY27), up from ₹25.7 crore in the same period last year. However, its operating revenue grew 7.3% year-on-year to ₹133.7 crore but declined 20.2% sequentially from ₹167.5 crore in the previous quarter, according to inc42.com.
The company’s total income for the quarter, including other income of ₹1.5 crore, stood at ₹135.2 crore. Total expenses rose 8.4% year-on-year and 16.5% quarter-on-quarter to ₹98.7 crore. On a sequential basis, net profit fell by about 57% from ₹67.7 crore in the previous quarter. ESDS, founded in 2005 and based in Nashik, provides cloud computing, data centre, managed services, and AI-led digital solutions to government and enterprise clients.
ESDS serves over 2,500 clients, including more than 170 banking entities and 100 government organisations. The company’s shares debuted on the stock exchanges at a premium of over 74% to the issue price and have since traded at more than four times the IPO price. The IPO consisted entirely of a fresh issue of shares worth ₹720 crore, underscoring strong investor interest in enterprise cloud and AI services in India.
The company’s next financial update will be closely watched to assess if it can sustain growth amid fluctuating revenue and profit margins. ESDS’ stock performance post-IPO highlights investor confidence, with the shares hitting the upper circuit for four consecutive sessions following the listing, as reported by inc42.com.