Seshaasai Technologies Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Seshaasai Technologies Ltd filed with BSE on 26 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Seshaasai Technologies reported Q4 FY26 revenue from operations of INR 404 crore, up 9.6% year-on-year, while full year FY26 revenue declined 1.5% to INR 1,441.1 crore due to moderation in the Payment Solutions business. EBITDA margin for the quarter expanded to 30.8% and PAT margin to 20.2%, aided by procurement efficiencies, operating leverage, and lower finance costs following IPO-related debt repayment. Management discussed growth in Communication and Fulfilment Solutions and IoT segments, new facility commissioning, patent filings, and declined to give formal FY27 guidance pending greater clarity after Q1.
Numbers mentioned
Revenue from operations: INR 404 crore (Q4 FY26)
p. 3
“During the quarter, we reported revenue from operations of INR 404 crore, reflecting a growth of 8.1% sequentially and 9.6% on a Y-o-Y basis.”
Pragnyat Lalwani, page 3 of the filed PDF · View the filing
Revenue from operations: INR 1,441.1 crores (FY26)
p. 3
“Moving to the full year FY '26 performance, we reported revenue from operations of INR 1,441.1 crores, a drop of 1.5% on Y-o-Y basis.”
Pragnyat Lalwani, page 3 of the filed PDF · View the filing
EBITDA: INR 125 crores (Q4 FY26)
p. 6
“EBITDA for the quarter came in at approximately INR 125 crores, with an EBITDA margin of 30.8%, an increase of 330 bps Y-o-Y.”
Pavan Kumar, page 6 of the filed PDF · View the filing
PAT: INR 82 crores (Q4 FY26)
p. 6
“Our PAT for the quarter stood at approximately INR 82 crores, with the PAT margin at 20.2%, up 316 bps Y-o-Y.”
Pavan Kumar, page 6 of the filed PDF · View the filing
EBITDA: INR 394 crores (FY26)
p. 7
“EBITDA came at INR 394 crores with an EBITDA margin of 27.4%, an increase of 204 bps Y-o-Y.”
Pavan Kumar, page 7 of the filed PDF · View the filing
PAT: INR 240 crores (FY26)
p. 7
“Our PAT stood at INR 240 crores with a PAT margin of 16.7%, which is 146 bps Y-o-Y.”
Pavan Kumar, page 7 of the filed PDF · View the filing
Top 10 customer concentration: 62.8% (FY26)
p. 7
“The top 10 customers contributed almost 62.8% of our revenue, and more than 96.6% of our revenues came from existing customers, showcasing the stickiness of customer relationships, strong renewal and repeat business characteristics of our business model.”
Pavan Kumar, page 7 of the filed PDF · View the filing
Cash and cash equivalents: INR 398 crores (as of 31 March 2026)
p. 7
“As of 31st March 2026, we had cash and cash equivalents of approximately INR 398 crores, including unutilized IPO funds of approximately INR 195 crores.”
Pavan Kumar, page 7 of the filed PDF · View the filing
IoT Solutions revenue growth: 45% (FY26 Y-o-Y)
p. 6
“IoT solutions contributed 11% of total revenue in FY '26 and witnessed a growth of 45% on Y-o-Y basis.”
Pragnyat Lalwani, page 6 of the filed PDF · View the filing
Communication and Fulfilment Solutions revenue growth: 29% (FY26 Y-o-Y)
p. 5
“Communication and fulfilment solutions contributed 39% of total revenue in FY '26 and recorded a strong Y-o-Y growth of 29%.”
Pragnyat Lalwani, page 5 of the filed PDF · View the filing
Export revenue: INR 3 crores (FY26)
p. 16
“Revenue from exports has been about INR 3 crores in FY '26.”
Pavan Kumar, page 16 of the filed PDF · View the filing
Payment cards market share: 31.6% (FY25)
p. 20
“Basically, the market share data which was last published was for FY '25 by the leading industry analysts, and there we had a market share of 31.6% of the payment cards market in India.”
Pragnyat Lalwani, page 20 of the filed PDF · View the filing
Metal card mix in payment solutions: 4% (FY26)
p. 19
“Yes. I would say right now, the metal card overall in our payment solution business contributes close to about 4% in the payment.”
Pragnyat Lalwani, page 19 of the filed PDF · View the filing
Non-BFSI share of payment card business: 4%
p. 21
“So probably the non-BFSI in the payment card business is close to about more or less 4% of the total payment card business.”
Pragnyat Lalwani, page 21 of the filed PDF · View the filing
Dividend: INR 2.5 per share (FY26)
p. 6
“The Board of Directors has recommended a dividend of INR 2.5 per share, reaffirming our commitment to shareholders.”
Pragnyat Lalwani, page 6 of the filed PDF · View the filing
SIM manufacturing capacity: 7 million SIMs a month
p. 12
“We've got a capacity of about 7 million SIMs a month.”
Pragnyat Lalwani, page 12 of the filed PDF · View the filing
RFID capacity utilization: 80%-85% (Q4 FY26)
p. 12
“During the quarter, we had some spike volumes, so I think we were probably closer to around 80%- 85% capacity utilization during the last quarter.”
Pragnyat Lalwani, page 12 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
FY27 formal guidance — after Q1 FY27
stated conditionally by Pragnyat Lalwani
p. 11
“However, now considering the geopolitical situation and also the uncertainty, we would like to probably wait until Q1, where we get a better grip of the situation, better visibility, and maybe in a position to give a guidance after Q1.”
Pragnyat Lalwani, page 11 of the filed PDF · View the filing
IoT business growth — upward of 47% · FY27
stated as an aspiration by Pragnyat Lalwani
p. 17
“We should be definitely growing upward of 47% in the IoT business.”
Pragnyat Lalwani, page 17 of the filed PDF · View the filing
Capex — INR 160 crores to INR 200-odd crores · FY27
stated firmly by Pavan Kumar
p. 17
“On the capex side, we have a plan of investing close to about INR 160 crores to INR 200-odd crores through the year across Payment Solutions and IoT business verticals, as well as overall modernization, of which some funds would come in from the IPO fund.”
Pavan Kumar, page 17 of the filed PDF · View the filing
eSIM revenue commencement — H2 FY27
stated conditionally by Pragnyat Lalwani
p. 12
“So probably we will expect eSIM revenues to help us from H2 of this year.”
Pragnyat Lalwani, page 12 of the filed PDF · View the filing
Margin guidance — FY27/FY28
stated conditionally by Pragnyat Lalwani
p. 20
“We'll travel some more distance and have better visibility on how this whole crisis is playing out, then we will set up into guidance.”
Pragnyat Lalwani, page 20 of the filed PDF · View the filing
Communication and fulfilment solutions growth — marginal decline · FY27
stated as an aspiration by Pragnyat Lalwani
p. 15
“There could be a marginal decline, but overall, we are fine with that.”
Pragnyat Lalwani, page 15 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said gross margin gains came from sourcing initiatives and operating leverage despite adverse forex movement in Q4.
Answered by Pavan Kumar
Asked by Devesh Agarwal: Whether rupee depreciation would create a negative carry on import-dependent costs going into Q1.
p. 8
“Now, specifically for Q4, we see that there's been an impact of adverse foreign exchange movement, while for the materials that we consume in Q4, a large part of that is also procured in early Q4 and towards end of Q3.”
Pavan Kumar, page 8 of the filed PDF · View the filing
Management attributed the apparent increase to inventory build-up and IPO cash sitting on the balance sheet, saying underlying receivables and inventory were in line with business needs.
Answered by Pavan Kumar
Asked by Devesh Agarwal: Whether rising working capital intensity would reverse in FY27.
p. 8
“But more or less, I would say, the key factors there being inventory positions and trade receivables are more or less in line with the business and that's something that we are continuously monitoring and working to improve upon as well.”
Pavan Kumar, page 8 of the filed PDF · View the filing
Management attributed the decline to post-COVID renewal cycle disruption and bank rationalization of card issuance, expecting a bottoming out and improvement.
Answered by Pragnyat Lalwani
Asked by Raghav Maheshwari: Whether the decline in payment solutions revenue over FY24-26 reflects a product mix shift or another factor.
p. 11
“So, all in all, our understanding is that the payment card business, the numbers which have come in, we expect this to trend to probably bottom out and from here on we expect a better momentum to be seen for an upward trajectory.”
Pragnyat Lalwani, page 11 of the filed PDF · View the filing
Management said the company consistently invests in recurring-revenue, technology-driven businesses with scale potential, and expects technology allocation to increase.
Answered by Pragnyat Lalwani
Asked by Pratik Banthia: What is the underlying capital allocation theme across the company's historical pivots.
p. 12
“And if you would see one thing which is common across the whole theme of the last 25 years, is that we've always gone for businesses which are having recurring revenue, business which need technology, businesses which need to scale, and products which are mandatory or needed for our end customer's functioning.”
Pragnyat Lalwani, page 12 of the filed PDF · View the filing
Management clarified the patent protects their specific process but does not prevent others with different innovations from producing similar products.
Answered by Pragnyat Lalwani
Asked by Chintan Shah: Does the metal card patent grant provide exclusivity over competitors.
p. 18
“While a person has a patent who wants to use the product or manufacturing in a certain way, it does not refrain anybody else if the other person has another novelty or innovation to produce his product, right?”
Pragnyat Lalwani, page 18 of the filed PDF · View the filing
Management declined to quantify margin impact, citing macro uncertainty and preferring to wait for more visibility.
Answered by Pragnyat Lalwani
Asked by Surya Narayan: What margin improvement is expected from backward integration into inlay manufacturing for FY27-28.
p. 20
“As we said, due to the current geopolitical situation, the macroeconomic factors, the currency fluctuation, the challenges that every business is facing in terms of supply times, cost, etc., we probably would not want to give any guidance at this stage.”
Pragnyat Lalwani, page 20 of the filed PDF · View the filing
Management declined to give segment-wise growth guidance for FY27, citing macro uncertainty, but shared a capex range.
Answered by Pavan Kumar
Asked by Vedant Agarwal: What guidance can be given for FY27 growth across the three segments and capex plans.
p. 17
“Vedant, at this point in time, it's difficult to give guidance for FY '27, considering the macroeconomic environment, etc.”
Pavan Kumar, page 17 of the filed PDF · View the filing
Risks flagged
Moderation in card issuance volumes from PSU and private banks and lower renewal volumes due to a lower COVID-era base
p. 5
“This segment was impacted by broader industry factors, including moderation in issuance volumes from PSU and Private banks, lower renewal card volumes due to lower base year issuance during the COVID-19 period, as well as timing differences in renewal cycles and tighter regulatory and compliance environments for banks and fintechs.”
Pragnyat Lalwani, page 5 of the filed PDF · View the filing
Global macroeconomic and geopolitical uncertainties including supply chain disruptions and currency volatility
p. 4
“As we look ahead to FY '27, we remain cautiously optimistic while being mindful of global macroeconomic and geopolitical uncertainties, including supply chain disruptions, currency volatility, and broader demand conditions.”
Pragnyat Lalwani, page 4 of the filed PDF · View the filing
Adverse foreign exchange movement affecting input costs
p. 8
“Now, specifically for Q4, we see that there's been an impact of adverse foreign exchange movement, while for the materials that we consume in Q4, a large part of that is also procured in early Q4 and towards end of Q3.”
Pavan Kumar, page 8 of the filed PDF · View the filing
Rising input material prices and currency volatility affecting margin visibility
p. 17
“we'd want to probably wait and see how the situation evolves in terms of foreign exchange currency as well as input prices across materials, which are rising, and see how the situation evolves to get a better sense of the numbers for the full year.”
Pavan Kumar, page 17 of the filed PDF · View the filing
Regulatory tightening on unsecured credit card risk affecting bank card issuance strategy
p. 11
“what is their strategy on risk mitigation in terms of unsecured lending, and how do they see regulatory increase in the risk assigned to the unsecured portfolio of credit cards, etc.”
Pragnyat Lalwani, page 11 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.