Persistent Systems Reports Strong Q3 FY25 Performance with 19.9% YoY Revenue Growth

Persistent Systems Reports Strong Q3 FY25 Performance with 19.9% YoY Revenue Growth.

January 2025 – Persistent Systems Ltd., a global leader in AI-led digital engineering, has reported robust financial results for the third quarter of fiscal year 2025, showcasing strong growth across key performance metrics. The company posted revenue of $360.2 million, reflecting a 4.3% quarter-on-quarter (QoQ) increase and an impressive 19.9% year-on-year (YoY) growth.

Key Financial Highlights​

• Revenue: $360.2 million (+19.9% YoY)
• TTM Revenue: $1,344.8 million (+17.0% YoY)
• EBIT Margin: 14.9% (+25.5% YoY)
• PAT: ₹3,729.9 million (+30.4% YoY)
• EPS: ₹24.3 (+28.4% YoY)
• Market Capitalization: $11.8 billion (as of December 31, 2024)
• Total Employees: 23,941

Persistent Systems’ EBIT margin expanded to 14.9%, a notable improvement from the previous year, demonstrating its strong operational efficiency. The company’s Profit After Tax (PAT) surged 30.4% YoY to ₹3,729.9 million, reflecting its sustained profitability.

Strategic Growth and Industry Expansion​

Persistent continues to strengthen its AI-driven, platform-led digital engineering approach, positioning itself as a global leader in technology innovation. The company reported significant revenue contributions from its three primary business segments:

• Software, Hi-Tech & Emerging Industries: $145.9 million
• Banking, Financial Services & Insurance (BFSI): $114.3 million
• Healthcare & Life Sciences: $100.0 million

Persistent also expanded its AI capabilities, launching SASVA, an AI-powered software development platform, and iAURA 2.0, which enhances automated testing and software quality engineering.

Significant Partnerships and AI Innovations​

Persistent Systems has strengthened its industry position with significant partnerships and AI-powered innovations, including:

• ContractAssIst: Developed with Microsoft 365 Copilot, enhancing contract management efficiency. This AI-driven tool was featured in Satya Nadella’s keynote at the Microsoft AI Tour.
• Pi-OmniKG: A GenAI-powered knowledge graph solution, co-developed with Google Cloud, aimed at accelerating biomedical research.

Recognition and Sustainability Milestones​

The company achieved multiple industry recognitions:

• Included in the Dow Jones Sustainability World Index for its commitment to ESG practices.
• Awarded the 2024 ISG Star of Excellence Overall Award, highlighting superior client satisfaction.
• Rated AA+ (Stable) by ICRA, underscoring its strong financial stability.
• Ranked as a Leader in the Everest Group’s Data & AI Services PEAK Matrix Assessment 2025.

Persistent also reaffirmed its commitment to sustainability by achieving carbon neutrality for Scope 1 and 2 emissions. With 100% of its electricity sourced from renewable energy, the company planted over 25,000 trees, contributing to 121,035 trees.

Dividend Declaration​

The Board of Directors declared an interim dividend of ₹20 per share, marking an increase from ₹16 per share in FY24. This reflects Persistent’s strong financial health and commitment to creating shareholder value.

Future Outlook​

With continued investment in AI, cloud modernization, and enterprise automation, Persistent remains optimistic about its long-term growth trajectory. CEO Sandeep Kalra reaffirmed the company’s commitment to driving innovation, stating, “Our 19th consecutive quarter of revenue growth is a testament to our AI-led strategy. We continue to invest in new technologies and expand our global footprint to unlock new growth opportunities.”

As the company moves forward, its focus on AI-driven transformation, cloud modernization, and platform-based services is expected to further propel its industry leadership and financial performance in the upcoming quarters.