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1 — At a Glance
Firstsource Solutions closed the June 2026 quarter with revenue of ₹2,725 Cr, up 22.9% year-on-year and 5.5% sequentially. Operating profit came in at ₹451 Cr against ₹347 Cr a year earlier. Operating margin was 17%.
Below the operating line, the quarter takes a turn. Other Income was negative ₹66 Cr. Exceptional items ran to ₹717 million gross (₹563 million net of tax), and reported net profit landed at ₹166 Cr — down 2.0% from ₹169 Cr in the June 2025 quarter, and down 19.2% from the ₹205 Cr printed in March 2026. EPS of ₹2.35 moved in the same direction.
Management’s framing of the exceptional charge is specific: ₹357 million estimated non-recoverable following a client contract termination, ₹284 million for indemnifying a regulatory penalty to a customer arising from non-fulfilment of a contractual performance obligation, and ₹76 million of fair value adjustment on contingent consideration from an earlier acquisition — the last one, per the concall, because Ascensos delivered above its revenue and margin guidance and the earn-out went up accordingly. That is a company writing a cheque because an acquired business did well, filed in the same line as two it wrote because things went sideways.
The company signed four large deals, added twelve new logos including three strategic ones, and reaffirmed FY27 guidance of 10–13% constant currency growth with an EBIT margin band of 12.25–12.75%. Headcount finished at 36,875.
Everything above happened in ninety days at a company that has now put together nine consecutive quarters of double-digit YoY revenue growth. What that engine is actually made of is the next 2,000 words.
2 — Introduction
Firstsource Solutions is a business process management company, listed on both Indian exchanges, and part of the RP-Sanjiv Goenka Group — a conglomerate with a turnover of around US$5 Bn, an asset base above US$8 Bn, and interests running from power and carbon black to a gourmet retail chain, a snack brand called Too Yumm, and an IPL franchise.
Per CARE Ratings, the company was promoted as ICICI Infotech Upstream Limited in December 2001 by ICICI Bank, listed in 2007, and passed to the RP-Sanjiv Goenka Group in 2012–13 when Spen Liq Private Limited, a wholly owned CESC subsidiary, acquired a 56.82% stake. Group ownership now sits at 53.66%.
The last two years have been busy on the inorganic side. In FY25 the company acquired two businesses for roughly ₹800 crore, per CARE — including Ascensos in September 2024. In December 2025 its UK subsidiary completed the purchase of Pastdue Credit Solutions, an FCA-registered UK debt collections agency, for GBP 22 Mn. In January 2026 a step-down subsidiary picked up 100% of TeleMedik, a Puerto Rico-based healthcare and telehealth provider, for a consideration of up to US$3 Mn.
The strategic vocabulary has shifted alongside. April 2026 brought the launch of Kairos, described by the company as an AI-powered operating system for enterprise workflows, and a partnership with Typeface for agentic marketing services. In June 2026 the company announced deployment of AI-driven workflow automation with AppliedAI for healthcare and education clients. On 11 August 2026 it announced an AI customer experience partnership with Cresta. Management describes FY27 internally as a “year of accountability” and repeats that technology alone doesn’t create business value, execution does — a sentence that appears in a quarter where a transformative BPaaS engagement was wound down because the client changed its mind.
Corporate housekeeping: the 25th AGM on 7 August 2026 adopted the FY26 audited results, confirmed a 55% interim dividend, and reappointed a director.
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3 — Business Model: WTF Do They Even Do?
Firstsource does the work that large Western enterprises would rather not do themselves, at 57 delivery centres across 12 countries, with 36,875 people. The philosophy is officially “Digital First, Digital Now,” which is what you call the thing when “we answer your phones and process your claims” doesn’t survive a slide review.
Four verticals. Healthcare (33% of Q1 FY27 revenue) covers claims management, member enrolment, prior authorization, medical coding, revenue cycle management and payment recovery. It serves 10 of the top 15 US health plans and works with over 200 health systems. Banking and Financial Services (33%) does mortgage origination and servicing, lending, credit cards, collections and fraud management, for 14 of the top 20 US mortgage lenders, 7 of the top 10 US credit card issuers, and 3 of the top 6 UK retail banks. Communications, Media & Technology (20.6%) serves telecom operators, broadband providers, publishers, streaming platforms and hyperscalers. Diverse Industries (13.2%) handles energy retailers, water utilities, retailers, marketplaces and EdTech platforms.
Read the client list as one sentence and the business becomes clear: Firstsource is on the phone with a large fraction of the English-speaking world at any given moment, and none of those people know it.
Geographically, 66.4% of Q1 revenue
