Sasken Technologies Q2 net profit rises 144 pc to Rs 25.59 crore
Bengaluru, Oct 29 (TNT) : Sasken Technologies Ltd on Thursday reported a 143.8 per cent year-on-year increase in consolidated net profit to Rs 25.59 crore for the second quarter ended September 30, 2026, driven by strong growth in software services and improved operating performance.
The product and digital engineering company posted consolidated revenue of Rs 320.95 crore, up 25.6 per cent from the corresponding quarter last fiscal, but down 5.4 per cent sequentially, primarily due to lower shipments in its Product Solutions business amid component supply constraints, the company said in a release.
Consolidated earnings before interest and tax (EBIT) surged 394.3 per cent year-on-year to Rs 28.49 crore, while EBIT margin stood at 8.9 per cent. Net profit increased 8.8 per cent over the preceding quarter, with a profit margin of 8 per cent.
Software Services remained the key growth driver, registering 15 per cent sequential growth and 34 per cent year-on-year growth, supported by demand across automotive, semiconductor, communications, connected devices and artificial intelligence-led engineering.
In contrast, revenue from Product Solutions declined 42 per cent sequentially, although it recorded a 2.4 per cent year-on-year increase, reflecting continued component availability constraints.
The company reported a quarterly order book of USD 47.3 million, including USD 24.8 million in new business, with four new customer wins.
Key contracts included a multi-year engineering engagement with a leading European automotive group for next-generation telematics, a strategic cockpit and advanced driver-assistance systems (ADAS) programme for a European automobile manufacturer, and an engineering engagement with an Indian electric vehicle company covering application development, human-machine interface, middleware and testing.
Sasken also secured a semiconductor intellectual property engagement covering radio frequency, power management, audio and analogue IP design for a cellular system-on-chip, extending through silicon validation and production support.
Chairman and Managing Director and Chief Executive Officer Rajiv C. Mody said the quarter reflected progress in building a more resilient business through deeper customer partnerships and a stronger focus on product engineering, innovation and lifecycle services.
He said the company’s Chip-to-Cognition capabilities would help deepen partnerships, expand its impact and create long-term value for stakeholders.
The company attributed the moderation in Product Solutions to tightness in the global memory market, with rising demand from AI infrastructure affecting memory allocation, component availability and device costs.
Sasken and Borqs are taking engineering and supply-chain measures, including diversifying qualified component suppliers, improving supply visibility and optimising product configurations, to address the constraints.
During the quarter, Sasken launched Juniper Alta, a device developed end-to-end and shipped within 18 months. Its product development capabilities also helped it secure an expanded mandate for turnkey development and lifecycle management of a key product for a large hyperscaler.
Sasken reported cash and cash equivalents of Rs 398.8 crore at the end of the quarter, while consolidated earnings per share stood at Rs 16.14.
TNT KM
