1. Opening Hook
While most Indian IT companies were busy blaming macros, clients, or “decision delays,” Persistent Systems quietly clocked its 23rd consecutive quarter of revenue growth. No drama. No sob stories. Just execution.
Yes, margins slipped—but only because labour laws decided to show up uninvited. Management insists the pain is “one-time,” which in IT language means “don’t ask again next quarter.”
AI, cloud, and digital engineering are doing the real work here, while the rest of the sector debates whether GenAI is a buzzword or a billing line item.
The stock didn’t party, analysts didn’t panic, and Persistent kept walking.
Stick around—because the interesting bits are buried beneath the optimism slides. 😏
2. At a Glance
- Revenue up 17.3% YoY – Apparently, demand didn’t read the slowdown headlines.
- QoQ growth at 4.0% – No sprinting, just marathon discipline.
- EBIT margin at 14.4% – Labour codes entered like an unwanted guest.
- PAT up 17.8% YoY – Profits shrugged and kept moving.
- Interim dividend ₹22 – Management rewarding patience, not hype.
3. Management’s Key Commentary
“We delivered our 23rd sequential quarter of revenue growth.”
(Consistency is the new cool in IT.) 😏
“Margins were impacted by one-time labour code changes.”
(Blame assigned. Case closed.)
“Demand for data, cloud, and digital engineering remains strong.”
(Clients still paying for things that actually work.)
“We are applying Agentic AI internally as ‘customer zero’.”
(We tested it on ourselves before selling it to you.) 🤖
“We are seeing larger and more complex engagements.”
(Smaller projects are for amateurs.)
“Our inclusion as a Microsoft Frontier Firm validates our strategy.”
(Satya noticed us. Please notice this slide.)
4. Numbers Decoded
| Metric | Q3 FY26 | Decode |
|---|---|---|
| Revenue ($M) | 422.5 | Steady, boring, beautiful growth |
| QoQ Growth | 4.0% | No sugar rush |
| EBIT Margin | 14.4% | Temporarily wounded |
| PAT Margin | 11.6% | Still respectable |
| TTM ACV | $1.69B | Sales engine humming |
| Attrition | 13.5% | Controlled, not alarming |
Translation: Growth quality > growth noise.
5. Analyst Questions
- Margins recovery?
Management: Next quarter normalization.
(Classic IT reassurance.) - BFSI exposure risk?
