Key Points
- Firstsource revenue grew 22.9 per cent year on year to ₹2,724 crore in Q1FY27
- Company signed four large deals marking sixth consecutive quarter of major wins
- FY27 guidance maintained at 10 to 13 per cent constant currency revenue growth
Firstsource Solutions reported a 22.9 per cent year-on-year increase in revenue to ₹2,724 crore for the first quarter of fiscal 2027, marking the company’s ninth consecutive quarter of double-digit revenue growth. The Mumbai-headquartered business process management firm maintained its full-year guidance of 10 to 13 per cent revenue growth in constant currency terms.
The company’s operating profit, measured as earnings before interest and tax (EBIT), a metric that shows profitability from core operations before accounting for financing costs and taxes, rose 34.8 per cent to ₹336.7 crore. This represented 12.4 per cent of revenue, up from the previous year.
Profit after tax stood at ₹165.9 crore on a reported basis. The company also disclosed an adjusted profit figure of ₹222.2 crore, which excludes exceptional charges of ₹56.3 crore net of tax recognised during the quarter. Diluted earnings per share came in at ₹2.36.
Sanjiv Goenka, chairman of the RP-Sanjiv Goenka Group and Firstsource Solutions, said the results reflected strategic positioning for structural shifts in the industry rather than cyclical changes. “As AI reshapes enterprise operations, our focus remains on building differentiated capabilities that create enduring value for our clients, our people and our shareholders,” Goenka said.
Deal momentum
The company signed four large deals during the quarter, extending its streak to six consecutive quarters with four or more major contract wins. The first quarter also saw twelve new client additions, including three accounts the company classified as strategic.
Among the significant wins, Firstsource secured a contract with a UK-based benefits and pensions administration provider for back-office transformation. The company also won business from an academic medical centre in the United States for insurance follow-up, denials management and claims resolution services.
By the numbers
- ₹2,724 crore
- Q1FY27 revenue
- 22.9%
- Year on year revenue growth
- 36,875
- Employee headcount at quarter end
Other deals included an expanded relationship with a UK-based fibre broadband provider for customer experience services delivered from South Africa, and a contract with a European public transport and shared mobility operator for customer service operations across the continent.
Vertical performance
The banking and financial services segment added five new clients during the quarter, with the company citing demand for collections services and AI-led transformation projects. The healthcare vertical brought in four new clients, supported by what the company described as steady deployment of artificial intelligence across payer and provider operations.
Communications, media and technology contributed two new clients, while diversified industries, covering utilities and retail, added one new account. The company’s headcount at quarter end stood at 36,875 employees, with voluntary attrition, calculated for employees who have been with the company for more than 180 days, at 27.5 per cent.
Firstsource was recognised in Everest Group’s Revenue Cycle Management Intelligent Operations assessment for 2026. The company also moved into ISG’s Breakthrough 15 category for the Americas region after its revenues crossed the one billion dollar threshold.
For the full fiscal year 2027, the company expects EBIT margin to range between 12.25 per cent and 12.75 per cent. Firstsource is listed on both the National Stock Exchange and the Bombay Stock Exchange, trading under the symbols FSL and 532809 respectively.
Your Questions, Answered
What was Firstsource Solutions revenue in Q1FY27?
Firstsource Solutions reported revenue of ₹2,724 crore (US$288 million) for Q1FY27, representing a 22.9 per cent increase compared to the same quarter in the previous year.
How many large deals did Firstsource sign in Q1FY27?
Firstsource signed four large deals in Q1FY27, marking the sixth consecutive quarter in which the company secured four or more major contracts.
What is Firstsource revenue growth guidance for FY27?
Firstsource expects revenue to grow between 10 per cent and 13 per cent in constant currency terms for FY27, with EBIT margin projected between 12.25 per cent and 12.75 per cent.
What is the employee headcount at Firstsource?
Firstsource had 36,875 employees at the end of Q1FY27, with voluntary attrition at 27.5 per cent for employees who have been with the company for more than 180 days.
