AIRAN - Airan

📊 NSE: AIRAN 🏢 Computers - Software - Medium / Small 📅 Last Updated: 12/13/2025 18:02

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue from operations for H1 FY26 was INR 5,196.87 Lakhs, representing a slight decrease of 0.8% compared to INR 5,238.65 Lakhs in H1 FY25. The company operates in a single segment (ITES/Data Processing), which generated INR 10,649.84 Lakhs in FY25.

Geographic Revenue Split

The company maintains a global footprint through subsidiaries in Singapore, Australia, and the UK. While specific percentage splits are not disclosed, the group includes Airan Singapore Private Limited, Airan Australia Pty Limited, and Airan UK Limited.

Profitability Margins

Net profit ratio improved significantly by 45.53% to 17.86% in FY25 from 12.28% in FY24. However, H1 FY26 net profit dropped to INR 397.03 Lakhs from INR 1,911.33 Lakhs in H1 FY25, primarily due to a sharp reduction in 'Other Income' which fell from INR 2,064.70 Lakhs to INR 141.13 Lakhs.

EBITDA Margin

Operating activity before working capital changes for H1 FY26 was INR 664.98 Lakhs (12.8% of revenue), compared to INR 802.31 Lakhs (15.3% of revenue) in H1 FY25, reflecting a core profitability decline of approximately 17% YoY.

Capital Expenditure

Capital expenditure for H1 FY26 included INR 46.59 Lakhs for Property, Plant & Equipment, a reduction from INR 203.23 Lakhs in H1 FY25. Total PPE stood at INR 6,370.65 Lakhs as of March 31, 2025.

Credit Rating & Borrowing

The company is nearly debt-free with a Debt-Equity ratio of 0.004 as of March 31, 2025. Total current borrowings were INR 106.70 Lakhs as of September 30, 2025, down 53% from INR 227.93 Lakhs in the previous year.

⚙️ Operational Drivers

Raw Materials

Human Capital (54.5% of revenue), Co-ordinator Services (20.2% of revenue), and Data Processing Infrastructure (4.9% of revenue).

Import Sources

Not applicable as the company is a service-based ITES provider.

Key Suppliers

Not applicable; primary operational costs are internal employee benefits (INR 2,833.13 Lakhs in H1 FY26) and third-party co-ordinators (INR 1,048.52 Lakhs in H1 FY26).

Capacity Expansion

Current capacity is driven by a technology-led delivery model and a skilled workforce. The company is scaling AI and automation-led offerings to increase processing capacity without linear headcount growth.

Raw Material Costs

Employee benefit expenses rose 2.1% YoY to INR 2,833.13 Lakhs in H1 FY26. Co-ordinator expenses increased 7.1% to INR 1,048.52 Lakhs, while data processing expenses decreased 19.8% to INR 253.82 Lakhs.

Manufacturing Efficiency

Not applicable; however, the company maintains a high Debt Service Coverage Ratio of 93.03, indicating extreme efficiency in meeting financial obligations.

Logistics & Distribution

Distribution is primarily digital; other expenses (including administrative and delivery) were INR 410.87 Lakhs in H1 FY26.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

Strategy focuses on deepening client relationships in core verticals, scaling AI and automation-led offerings, and expanding in high-growth geographies like the UK, Singapore, and Australia. The company is also leveraging its reinforced global footprint to capture emerging ITES opportunities.

Products & Services

Data processing services, AI-led automation solutions, ITES, and financial document management.

Brand Portfolio

Airan, Quadpro ITES, Cqub Infosystems.

New Products/Services

Scaling of AI and automation-led offerings is expected to drive future revenue momentum in FY26.

Market Expansion

Targeting high-growth international geographies including the UK, Singapore, and Australia through established subsidiaries.

Strategic Alliances

Operates through 6 key subsidiaries including Quadpro ITES Limited and Cqub Infosystems Private Limited to provide specialized ITES solutions.

🌍 External Factors

Industry Trends

The ITES industry is rapidly shifting toward AI and automation; Airan is positioning itself by scaling automation-led delivery models to maintain governance discipline and operational excellence.

Competitive Landscape

Competes in the global ITES and data processing market; dynamics are driven by technology adoption and data security compliance.

Competitive Moat

Moat is built on a diversified global service portfolio and a nearly debt-free balance sheet (Debt-Equity 0.004), providing high financial stability and the ability to invest in technology shifts like AI.

Macro Economic Sensitivity

Sensitive to global IT spending trends and regulatory changes in data security across multiple jurisdictions (India, UK, Singapore, Australia).

Consumer Behavior

Increasing demand for automated and AI-driven financial data processing among corporate clients.

Geopolitical Risks

Trade barrier impacts and regulatory shifts in the UK, Singapore, and Australia could affect subsidiary operations.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with international data security protocols and client data security frameworks is critical for global ITES operations.

Environmental Compliance

ESG commitments are integrated into the governance framework with strengthened board oversight on risk management.

Taxation Policy Impact

Income tax paid in H1 FY26 was INR 150.94 Lakhs. Deferred tax liabilities stood at INR 658.32 Lakhs as of March 31, 2025.

Legal Contingencies

No material pending court cases or specific case values were disclosed in the provided documents; secretarial audit for FY25 reported adherence to good corporate practices.

⚠️ Risk Analysis

Key Uncertainties

Volatility in investment valuations (e.g., INR 143.41 Lakhs loss on Beacon Trusteeship in H1 FY26) and high dependency on human capital (54.5% of revenue).