Onward Technologies reported a record revenue of ₹151.2 crore in Q1 FY27, up 11.5% year-on-year. The engineering services firm also secured a ₹33 crore contract, driving shares up 6.4% on the NSE.
Onward Technologies announced its financial results for the first quarter of fiscal year 2027, recording revenue of ₹151.2 crore. This achievement marks the highest-ever quarterly revenue for the Mumbai-based engineering services firm, reflecting an 11.5% growth compared to the same period last year. Shares of the company rose 6.36% on the National Stock Exchange following the announcement, trading at ₹301.65 during the session with an intraday high of ₹308.85.
Profitability and Operational Metrics
Operating profit, measured as EBITDA, reached ₹18.4 crore for the quarter. This represents a 7.2% increase from the year-ago period and a notable 20% rise compared to the previous quarter. The company’s operating margin improved to 12.3%, an expansion of 113 basis points over the fourth quarter of FY26. While profit after tax increased 16.9% sequentially to ₹11.2 crore, this figure remains 12.3% lower than the profit recorded in the first quarter of the previous fiscal year. Diluted earnings per share for the quarter stood at ₹4.98.
Strategic Wins and Client Growth
During the quarter, the company secured a contract worth ₹33 crore to set up a dedicated offshore development center for a global power management firm. Onward Technologies also expanded its base of large accounts, increasing the number of clients contributing over $1 million in annual revenue to 18, up from 16 in the preceding quarter. Additionally, the company successfully completed its share buyback program during this period.
Market Context and Future Outlook
Management has stated an expectation for double-digit revenue and EBITDA growth throughout FY27, attributing this outlook to efforts in strategic account management and the scaling of offshore delivery operations. Despite the recent positive stock movement, the share price remains below the 52-week high of ₹385 observed in July 2025. With a market capitalization of approximately ₹673.40 crore, the company operates in a competitive engineering services sector where performance is often tied to large-client retention and the successful execution of offshore development projects. Investors may track the company's ability to maintain margin improvements in upcoming quarters and the speed at which the newly secured ₹33 crore contract is executed and converted into revenue.