IT stock hits upper circuit after reporting strong Q1 results

Synopsis:
Fidel Softech shares hit 2% upper circuit after reporting strong Q1FY26 results.

A micro-cap stock providing tech solutions with local language support is in the spotlight today following the announcement of its Q1FY26 financial results. Check the article below to know about their performance. 

With a market capitalization of Rs. 250 crore, the shares of Fidel Softech Ltd were trading at Rs. 181.50, up by 2 percent from its previous closing price of Rs. 177.95.

Q1FY26 Results

Fidel Softech Ltd reported Rs. 16.63 crore in revenue for the first quarter of FY26, a 33.5 percent increase over the Rs. 12.46 crore for the same period in FY25. However, from Rs. 14.61 crore in Q4 FY25, revenue increased by about 13.9 percent. The PBT of the company for Q1FY26 is Rs. 4.84, up by 17.19 percent from Q4FY25 of Rs. 4.13 crore and from Rs. 2.81 crore in Q1FY25, it increased by 72.24 percent. 

The consolidated net profit for Q1 FY26 stood at Rs. 3.63 crore, Up by 18.63 percent from Q4FY25 of Rs. 3.06 crore and from Rs. 2.11 crore, it increased by 72.04 percent. Profit growth was also reflected in earnings per share (EPS), which increased to approximately Rs. 2.64 in Q1 FY26 from Rs. 1.53 in Q1 FY25 and Rs. 2.23 in Q4 FY25.

The company received two new orders totaling Rs. 1.95 crore in Q1FY26: Rs. 1.2 crore from a US payments company for AI-based product localization and Rs. 75 lakh from Indian Railways for content localization of the bullet train project. The revenue impact of these orders is anticipated in the following quarters.

Also Read: PSU stock in focus after receiving ₹551 Cr order for defence project

About the company

Technology-driven Fidel Softech Ltd., with its headquarters located in Pune, provides software, localization, and language engineering services to industries including IT, BFSI, manufacturing, and healthcare.

With a global presence in the USA, EMEA, and APAC, Fidel supports clients’ multilingual digital transformation needs by utilizing innovation and deep domain expertise. The business positions itself as a trustworthy international partner by emphasizing quality, agility, and client-centric services.

At the movement company’s Price to Earnings ratio (P/E) is trading at 23.9x lower than industry average of 29.2x. ROE and ROCE of the company are 22.4 percent and 30.1 percent respectively, highlighting the company’s strong financial performance.  

Written By Akshay Sanghavi

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