Coforge revenue jumps 49% as Encora kicks in
First full quarter post-Encora acquisition delivers $592M revenue, 16% EBIT margin, and a $2.23B order book — up 44% YoY.
— 5 earlier stories on Coforge Ltd. →What's new
- Coforge revenue hit $592.2M, up 49% YoY, with Encora contributing $100.7M over two months.
- 12-month executable order book rose 44% to $2.23B, providing strong revenue visibility.
- EBIT margin widened 414 bps to 16.0% on AI-led productivity and scale benefits.
Why this matters
The Encora acquisition is already delivering: $100.7M in two months and a 414 bps EBIT improvement. A 16% EBIT margin with a $2.23B order book puts the company within reach of its FY27 EBITDA target of 20.5%.
What we're watching
- Whether organic growth accelerates as Encora's AI-native capabilities cross-sell into Coforge's client base.
- Margins trajectory: can the 20.5% EBITDA target be hit by year-end?
- Integration costs and attrition rates post-acquisition.
The full read
Coforge's first full quarter with Encora on the books looks strong. Revenue hit $592.2M, up 49% YoY in rupee terms, with Encora alone contributing $100.7M over just two months. That is roughly 17% of total revenue from a deal that closed in April. The 12-month executable order book of $2.23B (up 44% YoY) means the pipeline is fat enough to sustain this pace. More impressive: EBIT margin widened 414 bps to 16.0%, helped by AI-led productivity and scale. That puts Coforge within striking distance of its FY27 EBITDA target of 20.5%. The board also recommended an interim dividend of ₹4 per share. It is working. The Encora integration looks clean so far, and the open question now is whether organic growth can accelerate as cross-selling kicks in.
Questions answered
- How much did Encora contribute to Q1 revenue?
- Encora contributed $100.7 million over the two months since the April 2026 acquisition close. The deal added roughly $600 million in annualised revenue to Coforge.
- What is the margin improvement story?
- EBIT margin expanded 414 basis points year-on-year to 16.0%, driven by AI-led productivity and scale benefits from Encora. Coforge has set a FY27 EBITDA margin target of 20.5%.
- What does the order book signal?
- The 12-month executable order book of $2.23 billion, up 44% year-on-year, provides strong near-term revenue visibility and suggests sustained demand for Coforge's AI-native engineering services.
- What is the interim dividend?
- The board recommended an interim dividend of ₹4 per share for the quarter.
- How does this compare to prior quarters?
- This is the first full quarter consolidating Encora, so direct sequential comparisons are less meaningful. Revenue jumped 49% YoY in rupee terms, while trailing PAT growth had been 116.8% (screener basis) before the acquisition.
Coforge Ltd.
Latest quarter · Mar 2026
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Story so far
All notes on COFORGE →- 28 Jul 2026 · 1:08 AM IST Coforge revenue jumps 49% as Encora kicks in
- today Coforge lifts FCF conversion target to >100%, flags strong Encora payoffs
- 1d ago Coforge revenue jumps 49% in first Encora quarter to ₹5,527.7 cr
- 1d ago Coforge posts first Encora-inclusive quarter with ₹5,528 cr revenue
- 1d ago Coforge reports first Encora-inclusive quarter; revenue jumps 49% to ₹5,527 cr