Onward Technologies has reported a stellar Q1 FY27, achieving a record revenue of ₹151.2 crore and significant growth in EBITDA and PAT, signaling strong market demand for ER&D services.

Key Takeaways

  • Total Revenue reached ₹151.2 Crore, marking an 11.5% YoY growth.
  • EBITDA grew by 20% sequentially to reach ₹18.4 Crore.
  • Secured a significant ₹33 Crore contract for a global power management firm.
  • High-value clients (billing >$1M) increased from 16 to 18.

Onward Technologies Limited (BSE: 517536; NSE: ONWARDTEC), a prominent global player in digital engineering and Engineering Research & Development (ER&D) services, has announced its financial results for the first quarter of fiscal year 2027. The company has demonstrated robust financial health, reporting a record revenue of ₹151.2 crore, representing an 11.5% year-on-year (YoY) increase.

Robust Financial Metrics

The company's operational efficiency is reflected in its EBITDA, which climbed to ₹18.4 crore, showing a massive 20% growth compared to the previous quarter (QoQ). This surge has expanded the EBITDA margin by 113 basis points to 12.3%. Furthermore, the Profit After Tax (PAT) stood at ₹11.2 crore, marking a 16.9% rise over the preceding quarter, highlighting the company's ability to convert top-line growth into bottom-line profitability.

Strategic Wins and Client Expansion

A major highlight of this quarter is the acquisition of a ₹33 crore contract to establish a dedicated Offshore Development Center (ODC) for a leading global power management entity. This move underscores Onward's growing influence in specialized engineering sectors. Additionally, the company's premium client base continues to expand, with the number of clients billing over US$1 million rising to 18 from 16 in the previous quarter.

Leadership Outlook

Commenting on the quarterly performance, Mr. Jigar Mehta, Managing Director of Onward Technologies, noted that the start of FY27 has been exceptionally solid. He emphasized that the company remains focused on profitable growth and strengthening its digital engineering capabilities. Despite the inherent volatility in industry decision cycles, the management maintains a confident outlook, targeting double-digit growth in both revenue and EBITDA for the full fiscal year.