TRACXN - Tracxn Technolo.

📊 NSE: TRACXN 🏢 Computers - Software - Medium / Small 📅 Last Updated: 12/14/2025 14:29

💰 Financial Performance

Revenue Growth by Segment

Revenue from operations for Q2 FY26 was INR 21.2 Cr, representing a 1% YoY growth and 0.2% QoQ growth. While revenue growth was modest, volume growth was robust with customer accounts increasing 41% YoY to 2,143 and users growing 44% YoY to 5,914.

Geographic Revenue Split

The company has a strong global presence with over 50% of revenue derived from international geographies. Specifically, the Americas (primarily North America) contribute nearly 30% of total revenue.

Profitability Margins

Q2 FY26 PAT margin (excluding deferred tax adjustments) was 2% (INR 0.5 Cr). The company reported a total income of INR 22.5 Cr for the quarter.

EBITDA Margin

EBITDA margin for Q2 FY26 was -3% (INR -0.6 Cr), reflecting ongoing investments in growth initiatives and data augmentation despite a 1% YoY revenue increase.

Capital Expenditure

Not disclosed in available documents; however, the company generated a Free Cash Flow of INR 1.5 Cr in Q2 FY26.

⚙️ Operational Drivers

Raw Materials

As a SaaS platform, the primary 'raw material' is human capital and data. Headcount stood at 644 as of Q2 FY26, representing a 3% increase since FY21, while revenue doubled in the same period.

Import Sources

The sales and operations teams are primarily based in India, serving customers in over 50 countries.

Capacity Expansion

The company is expanding its data 'capacity' by augmenting datasets for investment banks, including private company financials, PE/VC databases, and regulated data like loans, charges, and legal case data.

Raw Material Costs

Total expenses increased by 43% since FY21, significantly lower than the 100% revenue growth in the same period, demonstrating high operating leverage.

Manufacturing Efficiency

Operating leverage is a key efficiency metric; revenue doubled since FY21 with only a 3% increase in headcount (from 624 to 644).

Logistics & Distribution

Distribution is handled digitally via the Tracxn software platform; physical sales presence is being expanded through channel partnerships like TMX Datalinx.

📈 Strategic Growth

Expected Growth Rate

41%

Growth Strategy

Growth will be achieved through a strategic channel partnership with TMX Datalinx (part of TMX Group, market cap ~$10B) to penetrate North American enterprise accounts, and by expanding into the Indian debt market and NBFC segments through augmented regulated datasets.

Products & Services

Data and software platform for global private markets, providing intelligence on startups, private companies, and investment activity to VC/PE firms and investment banks.

Brand Portfolio

Tracxn

New Products/Services

Augmented datasets including private company financials, key ratios, and regulated data such as loans, charges, and legal case data to target NBFCs and debt markets.

Market Expansion

Targeting North American enterprise accounts through TMX partnership and the Indian debt market/NBFC segment.

Strategic Alliances

Channel partnership with TMX Datalinx, the information services division of TMX Group (owner of Canada's largest stock exchange).

🌍 External Factors

Industry Trends

The private market data industry is evolving towards more comprehensive, regulated datasets. Tracxn is positioning itself as a global platform spanning 50+ countries to capture this shift.

Competitive Landscape

Competes with other large global data companies in the private market intelligence space.

Competitive Moat

The primary moat is operating leverage and data network effects; the ability to double revenue with only 3% headcount growth suggests a highly scalable and sustainable competitive advantage.

Macro Economic Sensitivity

Highly sensitive to the health of the global private equity and venture capital ecosystem.

Consumer Behavior

Shift towards large enterprise accounts requiring physical sales presence or entrenched channel partners in financial hubs.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, specifically Regulations 17 to 27 regarding corporate governance.

Taxation Policy Impact

The company is not carrying any deferred tax assets as of September 2025. Taxable profits will depend on the speed of growth initiative conversions.

Legal Contingencies

Not disclosed in available documents; auditors reported no material non-compliance with corporate governance requirements for the period ending March 31, 2025.