Tanla Platforms' Q1FY26 results: Net profit down 16% YoY, shares slip 4.6%

Tanla Platforms shares fell 4.6% on BSE after posting a 16% decline in net profit YoY to ₹118.4 crore in Q1FY26. Revenue from operations increased 3.8% to ₹1,040.7 crore, while operating Ebitda rose 6% to ₹163.9 crore. The company added 99 new logos, with 59% on WhatsApp and RCS, and revenue contribution from these customers amounts to ₹277 million in Q1FY26.

Tanla Platforms Limited, a leading Communications Platform as a Service (CPaaS) provider, reported its first quarter financial results for the fiscal year 2025-26, which saw a mixed reception from the market. The company's shares fell by 4.6% on the BSE, reaching an intra-day low of ₹645.05, after posting a 16% decline in net profit year-over-year (YoY) to ₹118.4 crore. Revenue from operations grew 3.8% to ₹1,040.7 crore, while operating Ebitda increased by 6% to ₹163.9 crore [2].

The company reported a significant increase in new customer acquisitions, adding 99 new logos, with 59% of these on WhatsApp and RCS platforms. The revenue contribution from these newly acquired customers amounted to ₹277 million in Q1FY26. Additionally, the number of customers contributing more than ₹500 million in annualised revenue increased by 23% YoY and 9% sequentially, reaching 74,996 million [2].

Tanla Platforms' digital platforms contributed 8.8% to overall revenue, with a 6% YoY growth and a 2% quarter-over-quarter (QoQ) decline to ₹291.9 crore. Indirect expenses increased by 1.5% QoQ to ₹296.7 crore, representing 93% of revenue and 37.1% of gross profit [2].

Despite the mixed financial results, Tanla Platforms continues to invest in strategic initiatives. The company announced a ₹1,750 crore buyback program at ₹875 per share through the tender route, expected to complete by the end of August. Additionally, the AI-native platform deployment with a Southeast Asian telco is set to go live in August, with an initial user base of 50 million [1].

The company's management changes, including the appointment of Anubhav Batra as CFO and Sunil Bhumralkar as an Independent Director, reflect a commitment to maintaining strong corporate governance and continuity in leadership [1].

Investors are advised to monitor further announcements and detailed financial reports for a comprehensive understanding of Tanla Platforms' performance and future outlook.

References:
[1] https://scanx.trade/stock-market-news/earnings/tanla-platforms-reports-q1-revenue-growth-amid-profitability-challenges/14907652
[2] https://www.business-standard.com/markets/news/tanla-plaforms-share-price-q1-results-profit-revenue-ebitda-margin-125072500525_1.html