• Revenue growth outlook: Management expects quarterly revenue growth to normalize to 22–25% in FY27 as client-specific disruptions in the TMT vertical—which dragged full-year growth to 19% instead of 27% and Q4 growth to 17% instead of 32%—are now resolved.
• Margin sustainability: CFO Ashwath Bhat confirmed that Q4 margin improvements are sustainable, aided by SG&A expenses falling from 26.5% in Q1 FY26 to approximately 22%, with gross margin gains continuing to fund investments in R&D and sales.
• AI talent pipeline: Despite intense competition and rising standards for scarce AI research and engineering roles, the company maintains strong hiring selectivity by hiring approximately 1,000 candidates from 250,000 to 300,000 annual applicants.
• Remote work adoption: In alignment with Prime Minister Narendra Modi's appeal and NASSCOM advisories, Fractal plans to maintain flexible and remote work models built on operational resilience demonstrated during the pandemic and Operation Sindoor.