GSS Infotech Limited Earnings Summary — Q4 FY2026
GSS Infotech Reports Massive Q4 Net Loss Amid Substantial Non-Core Asset Write-Down
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 16.5% sequentially in Q1 FY2027.
- Revenue of ₹24 Cr is 2.4% lower year-on-year.
- Revenue has compounded at -21.6% annualised over the last 10 quarters.
- Net profit of ₹0 Cr is 109.9% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -95.3% annualised across the period.
- Operating margin stands at 4.2% in Q1 FY2027.
- Operating margin expanded by 583 bps year-on-year.
- Over the last two years operating margin has expanded by 11 bps.
- PBT margin is 0.6%.
- Expense growth of -8.0% remained below revenue growth of -2.4%.
- Operating profit of ₹1 Cr is 345.0% higher year-on-year.
- Operating leverage has been under pressure recently.
- 1 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 44/100 (Moderate) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Volatile | 24 | 28 | 17 | 19 | 24 | 41 | 21 | 34 | 30 | 41 |
| Expenses | Stable | 23 | 24 | 16 | 20 | 24 | 41 | 21 | 33 | 29 | 40 |
| Operating Profit | Volatile | 1 | 4 | 1 | -0 | -0 | -0 | -0 | 1 | 1 | 1 |
| Operating Margin | Volatile | 4.2% | 14.2% | 5.4% | -2.5% | -1.7% | -1.0% | -1.5% | 3.1% | 4.1% | 2.2% |
| Other Income | Volatile | — | -52 | 0 | 2 | -0 | 0 | 0 | 0 | 0 | 8 |
| Interest | Stable | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Depreciation | Volatile | 1 | 1 | 1 | 1 | 1 | 0 | 1 | 1 | 1 | 2 |
| Profit Before Tax | Volatile | 0 | -49 | 0 | 0 | -1 | -1 | -1 | 0 | 0 | 7 |
| Tax | Volatile | — | 0 | 0 | 0 | 0 | -0 | 0 | 0 | 0 | 0 |
| Net Profit | Volatile | 0 | -49 | 0 | 0 | -2 | -1 | -1 | 0 | 0 | 7 |
| Net Margin | Volatile | 0.6% | -174.5% | 1.2% | 1.4% | -6.3% | -1.7% | -4.2% | 0.3% | 0.3% | 16.9% |
Key Takeaways
- Net loss of INR 49 Cr in Q4 resulted primarily from a massive INR 52 Cr 'Other Income' hit, identified as a diminution in Polimeraas investment.
- Revenue has seen a sharp decline from INR 41 Cr in Q4 FY25 down to INR 28 Cr in Q4 FY26.
- Operating Profit Margin (OPM) surprisingly spiked to 14% in Q4, the highest in several quarters, despite the net loss.
- The balance sheet is under severe stress with total borrowings escalating to INR 145 Cr from just INR 12 Cr two years prior.
- Promoter holding remains precariously low at 12.7%, suggesting potential governance or stability risks.
- Receivable days have deteriorated significantly to 248 days, indicating severe liquidity and collection issues.
Management Guidance
Management clarity is lacking regarding the failed Polimeraas retail acquisition, though CMMi Level-5 status and cloud partnerships remain their core operational foundation.
Sentiment Shift
Deteriorating
A massive exceptional loss and a three-year revenue decline have wiped out investor confidence, overshadowed by debt expansion.
Outlook
The outlook remains bleak as the company faces terminal revenue decline and major capital misallocation. Survival depends on stabilizing the core IT services business amidst heavy debt service obligations.
From the Annual Report (Key Quotes)
“The company has failed to scale profitably, with revenue declining from INR 243 Cr in 2015 to INR 88 Cr in 2026.”
“Massive INR 52 Cr exceptional loss wiped out years of accumulated reserves.”
“Management quality is viewed as weak due to the lack of transparency regarding the Polimeraas retail acquisition.”
Official Quarterly Documents
This summary is AI-generated from GSS Infotech Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.