1. At a Glance
Silver Touch Technologies Ltd is that classic Indian IT company which quietly kept delivering code, government portals, SAP implementations and e-governance dashboards for nearly three decades, and suddenly woke up one fine day to find the stock market treating it like a mini-celebrity. With a market capitalisation of about ₹1,013 crore and a current price hovering around ₹799, Silver Touch sits comfortably in the “smallcap but don’t underestimate me” category. Over the last three months, the stock has delivered a return of around 7.7%, while the six-month return is a modest 3%. Nothing meme-worthy, but steady enough to keep long-term holders from rage-quitting.
What really spices things up is the latest quarterly performance. Q2 FY26 numbers show revenue of ₹85.52 crore, EBITDA of ₹13.80 crore, and PAT of ₹7.46 crore. That PAT number grew nearly 70% year-on-year, which is the kind of growth that makes analysts suddenly start using words like “operational leverage” and “margin expansion” in every second sentence. ROCE stands at a healthy 22%, ROE at 17.6%, debt-to-equity is a manageable 0.33, and promoter holding is a chunky 74.6%. This is not a flashy unicorn story; it’s more like a well-fed, well-behaved workhorse that just discovered protein shakes.
2. Introduction
Silver Touch Technologies was incorporated in 1995, which means this company has survived dial-up internet, Windows XP crashes, Y2K panic, dotcom bubble, global financial crisis, and multiple governments discovering the word “digital”. That alone deserves a slow clap. While many IT companies love reinventing themselves every five years with buzzwords, Silver Touch has quietly evolved from a traditional IT services provider into a broader digital transformation and e-governance solutions company.
The company operates across enterprise software, ERP solutions, managed security services, cloud solutions, and a heavy focus on government projects. It is CMMi Level 5 and ISO certified, which in Indian IT language translates to “process-heavy, documentation-loving, auditor-approved”. Over the years, Silver Touch has delivered more than 4,000 projects, built over 1,500 websites and portals, and completed 350+ SAP ERP implementations. That’s not startup energy; that’s institutional stamina.
What makes the story interesting now is timing. The Indian government’s obsession with digitisation, smart cities, national portals, dashboards, and single-window systems fits perfectly with Silver Touch’s strengths. Add overseas subsidiaries in the US, UK, France, and operations in Canada, and suddenly this Gujarat-based IT firm doesn’t look so local anymore. The question is simple: is the stock already pricing in this optimism, or is there still room for boring but beautiful compounding?
3. Business Model – WTF Do They Even Do?
If you ask Silver Touch what they do, they’ll hand you a brochure thicker than a CA textbook. So let’s simplify. At its core, Silver Touch builds, integrates, manages, and secures software systems for governments and enterprises. Think portals for citizens, dashboards for bureaucrats, ERP systems for companies, and security layers to ensure nobody leaks Aadhaar data on a random Tuesday.
Their enterprise software services include digital engineering, cloud app development, mobile applications, and DevOps. On the digital transformation side, they dabble in applied AI, data analytics, blockchain, IoT, and robotic process automation. Yes, they’ve ticked every buzzword box, but unlike PowerPoint-only companies, Silver Touch actually implements these for paying clients.
ERP is a big pillar. SAP Business One HANA, SAP S/4 HANA, SuccessFactors – basically, if a mid-sized Indian enterprise wants SAP and doesn’t want to deal with SAP directly, Silver Touch walks in with a calm smile. E-governance is where things get spicy. Single window systems, G2C, G2B, G2G portals, dashboards – this is the stuff that wins tenders and keeps revenue visibility decent.
Revenue-wise, about 89% comes from services and 11% from products. Geographically, around 83% of revenue is domestic, with overseas contributing 17%. This tells you two things: one, the company is still India-focused; two, there’s scope to scale internationally without changing the DNA. Does this business excite Instagram traders? No. Does it pay salaries and generate cash? Absolutely.
4. Financials Overview
Result Type Locked: Quarterly Results (Q2 FY26)
Annualised EPS = Latest quarterly EPS × 4
| Metric | Latest Quarter (Q2 FY26) | Same Qtr Last Year | Previous Quarter | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 85.52 | 74.85 | 63.20 | 14.3% | 35.3% |
| EBITDA (₹ Cr) | 13.80 | 9.16 | 9.03 | 50.7% | 52.8% |
| PAT (₹ Cr) | 7.46 | 4.40 | 4.04 | 69.6% | 84.7% |
| EPS (₹) | 5.88 | 3.47 | 3.19 | 69.4% | 84.3% |
This quarter was clearly not a fluke. Revenue grew nicely, but EBITDA and PAT grew much faster,
