• Full-year financial performance: Persistent delivered $1.65 billion in annual revenue, representing a 17.4% year-on-year growth, with EBIT margin reaching 15.6% and PAT margin at 12.6%. The company achieved its 24th sequential quarter of revenue growth, rising 3.2% quarter-on-quarter in dollar terms in Q4.
• FY27 revenue aspiration: The company is targeting an aspirational revenue goal of nearly $2 billion by FY27, which requires a CAGR of 15% plus. Management expressed confidence in achieving this milestone based on its track record of a 17% plus CAGR since listing in 2010.
• AI platform capabilities: Persistent is embedding AI across its offerings using proprietary platforms such as SASVA for software development life cycles and IORA with 500-plus automated agents for data modernization. The company is focusing on capturing higher client value and expanding wallet share rather than competing on commoditized pricing.
• Margin and currency: Management plans to sustain EBIT margins within the 16% to 17% range for FY27 after posting a 16.3% EBIT margin in Q4. To mitigate currency volatility and headwind risks, the company actively hedges approximately 50% of its revenues.
• Regulated vertical strategy: In highly regulated sectors like BFSI and Healthcare Life Sciences, Persistent is deploying Small Language Models (SLMs) hosted inside client-controlled environments to satisfy security and data privacy requirements. Clients are shifting discretionary budgets away from standard support operations to fund these next-generation AI deployments.