• Financial performance and margins: Revenue grew 40% year-on-year in Q1 with active clients surpassing 100, while EBITDA margins stood resilient at 16.9%. Management expects EBITDA margins to return to the 19% to 20% range by Q3 and Q4 as deferred revenues kick in.
• Profit after tax: Sequential PAT margin increased by 300 basis points to 10.9% and is expected to follow the Q3–Q4 EBITDA inflection. However, a non-cash amortization charge from a prior acquisition will continue to weigh on PAT margins by around 1.5% compared to historical levels of 14.5%.
• Revenue per employee: Metric crossed $77,000, supported by outcome- and output-based commercial models that allow the company to capture productivity gains from GenAI without passing them along as lower billings.
• Workforce composition: Deep medical and healthcare domain experts expanded from 22% to 29% of the workforce over the last four years. This contextual expertise enables upstream expansion and supports future growth and margin expansion.
• M&A and deal expansion: Biofarm's G&A integration is complete and tracking toward technology and data synergies. Meanwhile, the Tectonic engagement with the company's largest client has commenced in Germany and expanded into a new Spanish hub kicking off in the current quarter.