Surpassing the Billion Mark: Persistent’s Revenue Rocket and the $2B Ambition

Persistent Systems has created a buzz in the tech space, announcing a blockbuster FY25 with revenue jumping to $1,409.1 million, an 18.8% year-on-year increase and a healthy 14.7% EBIT margin. The relentless pace of the company, strategic AI shift, and dividend celebration have investors and market observers on tenterhooks.

 

Key Highlights:

 

Revenue Milestone: Persistent's FY25 revenue reached $1,409.1 million, a 18.8% YoY increase, with Q4 alone contributing $375.2 million—a 20.7% YoY increase. In rupees, annual revenue was ₹119,387 million, a 21.6% increase.

 

Profit Powerhouse: Consolidated net profit in Q4 was ₹395.76 crore, a 25.5% YoY increase. PAT for the year skyrocketed to ₹14,001.6 million, a 28% YoY increase from FY24.

 

Margin Resilience: EBIT margin for the year stood at 14.7%, Q4 EBIT margin at a commendable 15.6%, demonstrating excellent operational discipline and prolonged client confidence.

 

Dividend Bonanza: Celebrating its 35th anniversary, Persistent announced a final dividend of ₹15 per share, taking FY25 dividend to ₹35.

 

AI-Driven Growth Strategy: CEO Sandeep Kalra underscored the firm's 20th straight quarter of revenue growth and reaffirmed the ambitious goal of $2 billion annual revenue in FY27, fueled by a strategic shift to AI-enabled, platform-based services.

 

Order Wins & Industry Acclaim: Q4 recorded $517.5 million in bookings of total contract value. Recent wins include cybersecurity, financial services, and emerging technology, showcasing Persistent's expanding footprint.

 

Leadership Gains: The firm added CFO Vinit Teredesai to its Board, bolstering its leadership pipeline as it sets its next stage of expansion.

 

Sources: Moneycontrol, Upstox, Persistent Systems Press Release