3 weeks ago
Firstsource Q1 Profit Misses Estimates as Shares Tank Sharply
Firstsource Solutions is a big company that helps other businesses with tasks like answering customer calls, managing bank paperwork, and handling healthcare services.
Companies that do this are called business process management companies.
Every three months, companies share how much money they made, and this report is called a quarterly result.
In the first quarter of this financial year, Firstsource made less profit than before.
Its profit went down by about 19%, to around Rs 166 crore.
It also made less profit than experts expected.
Making less profit can worry people who buy shares of a company.
Because of the lower profit, the company's shares dropped sharply — falling as much as 17% during the day before closing more than 13% lower.
The company also earned less money overall, and a measure of how well its operations are running got worse.
This made investors feel less confident, and the share price has been falling over the past month.
Firstsource Solutions reported a 19% sequential decline in Q1 net profit to Rs 165.9 crore (about Rs 166 crore), from Rs 205.2 crore in the March 2026 quarter, missing the Bloomberg Consensus estimate of Rs 225 crore.
Shares fell sharply on Thursday after the results — one report said the stock tanked 17.38% intraday to Rs 280 and closed 13.33% lower at Rs 294.10, while another cited shares trading at Rs 303.65, down 10.53%.
EBIT declined 45.2% sequentially to Rs 337 crore from Rs 615.2 crore, with EBIT margin contracting to 12.4% from 24%.
Revenue from operations fell to Rs 2,725 crore in Q1 from Rs 2,853 crore in the previous quarter.
The stock is down 3.46% over the last five days, more than 22% over the past month, 4.8% over six months, and nearly 9% year-to-date.
- Who
- Firstsource Solutions, a business process management (BPM) and technology services firm of the RP-Sanjiv Goenka Group, headquartered in Mumbai.
- What
- Reported a roughly 19% sequential decline in first-quarter net profit to about Rs 166 crore, missing the Bloomberg Consensus estimate of Rs 225 crore, which triggered a sharp fall in its share price.
- Where
- Mumbai, India, where the company is headquartered.
- When
- First quarter of FY27, with results announced on a Thursday; the prior quarter was the March 2026 quarter (Q4 FY26).
- Why
- Operating performance weakened significantly, with EBIT down 45.2% sequentially and EBIT margin contracting to 12.4% from 24%, and profit missed market estimates.
Key facts
- Q1 FY27 net profit
- Rs 165.9 crore (about Rs 166 crore), down 19% sequentially
- Previous quarter net profit
- Rs 205.2 crore (March 2026 quarter)
- Year-on-year profit change
- Down 2% from Rs 169.3 crore
- Bloomberg Consensus estimate
- Rs 225 crore (missed)
- EBIT
- Rs 337 crore, down 45.2% sequentially
- EBIT margin
- 12.4%, down from 24%
- Revenue from operations
- Rs 2,725 crore
- Share price on Thursday
- Closed at Rs 294.10, down 13.33% (intraday fall of 17.38%); another report cited Rs 303.65, down 10.53%










