Fractal Q3 profit rises 10.5% on strong healthcare and BFS growth

Fractal Analytics reported a 10.5% rise in Q3 profit to ₹102.6 crore, with revenue up 21% year-on-year as healthcare, life sciences and BFS demand lifted its first post-listing results

Enterprise AI-native firm Fractal Analytics announced its third-quarter results for FY26, the first after its listing. The company’s net profit for the period was ₹102.6 crore, up 10.5 per cent from ₹92.8 crore in the same quarter last year.

 

Revenue for the quarter grew 21 per cent year-on-year to ₹854.4 crore. Growth was led by demand in the healthcare and life sciences segment (20 per cent of revenue), which grew 78 per cent year-on-year, and the banking and financial services segment (12 per cent of revenue), which grew 26 per cent year-on-year.

 

On a sequential basis, profit was up almost three times from ₹39 crore. Revenue grew 7 per cent compared to the quarter ended September 30, 2025.

 

 

Srikanth Velamakanni, Group CEO and Executive Vice-Chairman, said: “We delivered a great quarter, improving across nearly every metric. Our best-in-class organic growth, gross margins and high client retention reflect the strength of our enterprise AI capabilities and the trust our clients place in us. We have built a disciplined, high-performance organisation focused on solving complex enterprise problems with AI.”

 

The number of clients who generate revenues upwards of $20 million increased by two year-on-year to six clients. The number of clients who generate more than $1 million went up by eight year-on-year to 58 clients, said the company.

 

The company reported a gross margin of 47.2 per cent, an expansion of 0.2 per cent year-on-year. Adjusted EBITDA outperformed revenue growth, clocking 24 per cent growth year-on-year to ₹152.1 crore. Adjusted EBITDA margin was 17.8 per cent, an expansion of 0.4 per cent year-on-year.

 

The company’s consumer-targeted AI-based health assistant, Vaidya.ai 2.0, became the first AI model to achieve a 50+ score on OpenAI’s HealthBench (Hard), one of the toughest healthcare benchmarks that measure advanced clinical reasoning across complex diagnostic scenarios, outperforming ChatGPT-5, GPT-5.2 and Gemini Pro 3, said the company.

 

PiEvolve, an evolutionary agentic engine designed for autonomous machine learning and scientific discovery, was ranked among the top-performing agents on OpenAI’s MLE-Bench, outperforming agents from leading AI research labs, including Google, Microsoft and Meta.