FY26 closed at 29.2% USD growth and 14.4% EBIT.

Hi, team Morning. Congrats on a good strong quarter. So a couple of questions, Sudhir. Firstly, on the vertical mix, very, very strong showing in healthcare, high tech, transportation, etc. BFS and insurance seem to be a little bit soft on a Y-o-Y basis for the past couple of quarters? Just wondering on the BFS side, is this temporary? And sort of, is this partly attributable to the transitional leadership we have seen in this vertical and do you expect this to kind of reverse meaningfully, over the next couple of quarters considering, BFS remains a very strong vertical from a macro discretionary perspective as well, and the second question was around pricing the deals and how the delivery is changing for us in context of using AI tools. So just wondering sort of, how are we pricing deals differently? How are we structuring these deals differently from a year back? Do you see more and more margin gains coming in as we change that balance between humans and AI? And just lastly, a bookkeeping question for Saurabh. The unbilled revenues long-term seemed to have kind of, increased a bit Y-o-Y and Q-o-Q. If you could just explain sort of, why, I mean, what is happening there and how should we kind of model that going forward? Thank you.

Abhishek, thank you for all the three questions. I will take the first two and I will request Saurabh to take number three. Vertical mix, let me start off by saying, Abhishek, that we signed six large deals in Q3, which is a short quarter. And one third of those, two out of those six were from Banking. Given the large deal momentum we have seen in Q3 and what we think is likely to happen in Q4, we would suspect that while healthcare and high tech will continue to grow at a tear, banking might be the fastest growing core vertical of the firm next year. Given the growth momentum that we see ahead of us, both in terms of large deals and key account growth that is ahead of us, bankingwe feel very assured about where things are. Banking, as you noticed, YTD is still growing 20% plus. As far as Insurance is concerned, Insurance has not degrown. Insurance has grown on a Q-o-Q basis. One out of those six large deals was insurance. We expect robust growth in insurance in FY2026 which is almost done. Very robust, possibly higher growth in insurance in FY2027 than what we registered even in FY2026. That is the growth momentum there. We feel extremely assured. And finally, the sector that did see a Q-o-Q decline was government outside India. We expect to close one of the largest deals that we have ever signed in that sector in Q4. Outside the Q-o-Q data mix, if you were to look at YTD numbers, they are strong. And given the large deal velocity and the very strong growth of our top accounts and key accounts, I guess you are going to see them getting stronger starting Q4 itself. That was answer to question one. Question two, pricing and delivery, We have always talked about execution in the context of delivery and the fact that our clients believe that the age of AI experiments is over and they need digital native velocity with enterprise grade delivery maturity. We have transformed our core delivery model. We are not adding AI as a separate offering, but we are infusing it into every engagement. Our platforms, Code Insight AI, BlueSwan, Forge-X, Quazar, have helped us now for almost two years to embed AI in the way we deliver value to our customers from day one and that's important. We have restructured how we deliver. We are moving towards hybrid delivery models that combine agentic workflows with human expertise. And finally, to the other subtext around that question, Abhishek, critically, we are also willing to underwrite outcomes. Our risk reward commercial models tie our fees to our clients achieved results. We believe in the integrity and the strength of our delivery execution to be able to do that. And when we say we put skin in the game, we mean it contractually as well.

Thanks for taking my question and congrats for Coforge team on a rock solid performance yet again. Sudhir, my first question was, on basically the changing mix of the business that we might see over the coming quarters. You had mentioned in the analyst meet that health care, high tech, and public services are the verticals that we are focusing on going forward as basically in terms of diversifying our base. This quarter also, you mentioned that we have won a large deal in healthcare and probably another in the public service coming in the coming quarters. So if you could just take through the dynamics of these two sectors, how are we positioning ourselves in this pre-Encora? Of course, there is Encora also, which will start contributing into it. In healthcare, how are we looking in terms of payers and providers? In public services, are we looking more at UK public services or is it US as well? And what are the kind of growth avenues that we are looking in these verticals as we look to expand these verticals?

Thank you for the question and for the kind comments, Vibhor. As we discussed earlier in the investor meet that we have done in Mumbai, we believe Healthcare, Hi-tech, Public Sector will grow on steroids next year, if I were to put it euphemistically. Even if you were to reflect on their performance right now, these two verticals, just Healthcare and Hi-Tech, and this is all pre-Encora- we are not factoring in everything that will happen after Encora comes in on high tech, are already 10.5% of our aggregate revenues. And if I remember my numbers right, we are growing 95%. We have almost doubled it over the last four quarters. As I said earlier, we signed an NN large deal in Q3 in healthcare. We believe we will sign another NN large deal in the quarter that has started Q4. We also believe that in the allied vertical, which you referred to the UK public sector, we signed one of the largest deals that we ever have in that sector in the current quarter that is going on right now. We haven't announced it because this is the Q3 result call for now. In Healthcare, we continue to focus on Life Sciences and we continue to focus on Payer. However, please recognize that we are still relatively small. The Encora and the Coforge business, once it comes together, will only be about $170 to $175 odd million. And therefore, we will also look for tactical wins too. The large win in Healthcare that we do expect to close in Q4 is likely to come from a Provider client, an NN client, even though our primary focus longer term is going to be around life sciences and payors. Public sector, we continue to focus as we have. It takes a long time to build those relationships in UK and in Australia public sector. We have no plans, no intention of approaching the US public sector.

Hi, Sudhir Sir. Congratulations on a good print. I have a couple of questions. First is on the nature of the deal that drove strong growth in India. Can you just elaborate on the type of deal that would have contributed to such a large number? And would this end up being a headwind to your growth as you move into 4Q? That is the first question.

Kawaljeet at this point in time, we aren't reliant on one, two, or even three axes for growth. We referred earlier to the kind of growth that we see around Healthcare, around Public Sector, potentially getting accelerated, post-Encora coming together around High-Tech. Banking, we have alluded to the fact that two out of the six deals came from Banking itself. Banking is likely to do really well next year as is Travel, given the large deals we are looking at. So we think FY26 has been a very good year for us. FY27 is likely to be an exceptional year if the growth momentum continues. A lot of our confidence is also coming from the balanced nature of the growth across account-size cohorts, the pipeline, the relationship status across the top 10,the top 20 clients is extremely robust and then it is also coming from the next 12 months signed order book that we talked about. It is 30% higher than where it was four quarters back.

Yes, thanks for the opportunity. A couple of questions. I think first about, you said risk reward where we are taking a risk of about let us say deliverable kind of things. Sir can you help us understand how we get the sense about it, whether it would be part of contingent liability, about the potential risk, which we are looking as a part of contract, so some color around it. Second question is about the employee cost. I think Saurabh partly touched upon about some of the cost optimization actions or initiative which we have taken. Can you elaborate and provide more detail around it? Thank you.

Let me take a quick stab at it. Risk reward, as you can imagine, has multiple flavors. Each one of those goes through our own risk assessment framework. This is something that Saurabh as the CFO of the organization owns. And this is something that our Controller also gets into, as does the Pricing Head. When it comes to commercial constructs, there are decisions that are made strategically around engagement structures, whether they are joint ventures, BOTs, reverse BOTs, standard fixed price contracts, or milestone based deliverables. Decisions are taken jointly by the CFO's office along with the CDO's office, which is Sunil Fernandes, the global head of delivery of the organization. These are reported three times in a year to the Risk Management Committee of the Board to make sure that we stay aligned with where we are. You will have noticed, given the increasing margin and the very sharply increasing growth rate, not over one, two, or three years, but for now eight-and-a-half years. With this approach, we have been commercially judicious, but have also been open to newer paradigms. It has worked very, very well for us.

Yes. Thanks for the opportunity. Two questions. Firstly, Sudhir and Saurabh, ESOP costs have been a lever for us over the last a year or so has given us 100 bps on margins. We have mentioned in the past that we do not expect this number to go up. In fact, if at all, it may trend downwards. With a large acquisition like Encora, do you think the trajectory may again change on the ESOP side given any potential retention through ESOP schemes in there? Fair enough. The second question is on headcount, right? So if we look at in the last one year, our headcount has grown at about 8% to 9% year-on-year, 3Q to 3Q without any material improvement in utilization, which Sudhir called out as a lever going forward whereas our revenues, of course, have grown at 25%. Is it possible to just give a breakdown in terms of what is driving this gap between revenue and headcount into how much of it is non-headcount linked revenues versus how much of it is driven by automation, productivity, and some of the other initiatives? And how do we expect it to, trend going forward?

So as a percentage of revenue Rishi, you will not see impact on margins. The absolute number might change. We are not going to come right now for any incremental pool. But even if ESOPs are getting issued, the cost, the margins that we have spoken about will continue to be intact. So I will answer that in two parts. One, obviously, it is a function of the kind of contracts which are outcome based, which are getting signed, which gives you higher realizable revenue. And that is what you see, which is getting reflected in revenue per employee that we report. You look at current quarter, we almost we have crossed $71,000 per annum. So that is reason number one. Second, the utilization levels that we are reporting today, I think there is a significant upside that is possible. The reason why we are right now not seeing an upside is because we continue to induct freshers and that is why we continue to maintain lower levels of utilization but as those freshers are getting billed that has helped us in bringing down our ARC. So that is answer number two. Number three is that the point that Sudhir was making that not just contracts which involves third party cost but outcome based contracts, which has now become a significant portion or which is now continuing to become part of our deals as we are signing those deals. Over there it is not just the revenue per employee but the margins are high because of the risk that is being taken in those deals that is leading to higher revenue per employee and leading to lower headcount addition as compared to revenue growth.

Hi, thank you for the opportunity and congrats on good revenue performance. Two questions here. One is, you know, this unbilled revenue trend, as we take on more of the system integration contracts, is this likely to continue going up and is there is an absolute kind of unbilled DSO number that you will be comfortable with? Because this is the level of risk that we are taking on and how do you actually plan in controlling that? Second is on this other direct costs. Again, there are seasonality, I understand? This is also something that we should see going up because as you do these large system integrated contracts, this is another line item that might go up. Thanks. And one last question on travel, because of the Sabre deal and the whole new platform that Sabre is creating, do you think there is a cross opportunity with airline customers, and their own transformation programs?

Yes. Ravi, thanks for the question. The Sabre deal has already had impact.It is not in the realm of the hypothetical. When we look at the post-Sabre scenario for Coforge, we are on the verge of standing up a $20 million relationship with an airline, which was not a material customer by any stretch for Coforge, but was one of the biggest customers of Sabre. So that cross-sell has already happened. And we believe there is significant runway for more such relationships to get constructed over time, because Sabre is not just a client for us, it is also a partner for us on an ongoing basis. You are right, Ravi. That is the intent. And if Cigniti is any reflection, the success of that acquisition, hopefully Encora at a minimum, will be as good as Cigniti was. And the intent, of course, is to take it up a few notches from even the Cigniti success.

Thank you for the follow-on opportunity. This was once again a clarification on the other expenses line item. You said there is some seasonality to it related to certain contracts. So, just trying to understand is this largely linked to pass through license sales? That is one and given you are talking about very strong robust growth going into the next year, how should we be thinking about while you have given wage hikes only in the prior quarter, but how should we be thinking about some of the supply side factors going into FY27?

Manik, to your last question around supply side pressure, as you can imagine, given where the industry is right now, on the cost side, supply side pressure is very muted. A wage hike has just been announced. It is obviously not going to be done at least for the next four odd quarters.Four quarters at a minimum. Therefore, the confidence around margin increase, further margin increase in FY2027 over FY2026 is also strong.