Q2 25/26

Oct 31, 2025

Summary

Q2 revenue rose 20.5% YoY to INR 490.2 crore, while EBITDA margin expanded 613 bps YoY to 18.1%. FY26 growth guidance remains mid-teens including acquisitions; Digital Experiences faces a near-term client transition.

Ladies and gentlemen, good day and welcome to Q2 and FY 2026 Earning Conference Call of Datamatics Global Services Limited. As a reminder, all participants' lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Pratik Jagtap. Thank you, and over to you, sir. Thank you, Hina. Good afternoon to all the participants in the call today. Welcome to Q2 FY 2026 Earnings Call of Datamatics Global Services Limited. The results and presentation have been already mailed to you, and it is also available on the website of Datamatics. In case anyone has not received a copy of press release or presentation, please do write to us, and we will be happy to send you all. Before we begin, please note that Mr. Rahul Kanodia, Vice Chairman and CEO, is unwell and will not be joining the call today. To take us through the results today and to answer your questions, we have with us the top management of the company represented by Ankush Akar, SVP and Chief Financial Officer, Mitul Mehta, EVP and Chief Marketing Officer. Ankush will start the call with brief overview of the quarter on business, followed by the financials. Then we will open the floor for Q&A session. I would like to remind you that anything that is said on this call, which gives any outlook for the future or which can be construed as forward-looking statement, must be viewed in conjunction with the risks and uncertainties that we face. These risks and uncertainties are included, but not limited to what we have mentioned in the prospectus filed with SEBI and subsequent annual reports, which you can find on our website. With that said, I now hand over the call to Ankush. Over to you, Ankush. Thanks, Pratik. A very warm welcome and thank you all for joining our Q2 FY 2026 Earnings Call. Hope you had a wonderful Diwali this year, and wishing you a very prosperous New Year. I will begin by sharing some key highlights from our quarterly performance, followed by financial updates. We will then open the floor for Q&A session. We have continued our growth momentum from the previous quarter to Quarter 2 FY 2026, reporting revenue of INR 490.2 crore, an increase of 4.8% quarter-on-quarter. Our EBITDA stood at INR 88.8 crore, reflecting a substantial growth of 17% quarter-on-quarter, with EBITDA margin at 18.1%. Our continued focus on operational efficiency, financial discipline, and prudent cost management, along with a healthy quarter-on-quarter revenue growth, has resulted in a strong improvement in profit margins. The quarter-on-quarter revenue growth for both digital technologies and digital operations was robust. As expected, Digital Experiences had a softer quarter as two of our clients transitioned work to their captive centers. Even so, we continue to sign additional marquee logos, like one of the largest American optical retailers and a global leader in digital media and experience solutions, which will scale in the coming quarters. We are happy to share that Digital Technologies delivered an EBIT of 10.8% in Q2 FY 2026, which has been the best performance over the last several quarters. We also had a healthy quarter-on-quarter margin improvement across Digital Operations and Digital Experiences. We are seeing the softness in the Western markets bottoming out and are having promising conversations with several prospects. We remain focused on sustaining the momentum while continuing to invest in emerging technologies and innovation. Going forward, we remain confident of maintaining our performance trajectory. Now, let me take you through the financial performance for the quarter and half year ending 30th September 2025. As mentioned earlier, our Q2 FY 2026 revenue stood at INR 490.2 crore, reflecting a growth of 4.8% on quarter-on-quarter basis and 20.5% on year-on-year basis. We achieved strong results through our strategic focus on operational efficiency and cost optimization. Our EBITDA for the quarter stood at INR 88.8 crore, a growth of 17% on quarter-on-quarter basis and 82.2% on year-on-year basis. Our EBITDA margin for the quarter stood at 18.1%, reflecting an expansion of 613 basis points on year-on-year basis. Our EBIT for the quarter stood at INR 68.9 crore, which is up by 22.1% on quarter-on-quarter basis and 75.2% on year-on-year basis. Our EBIT margin was at 14.1%, reflecting an expansion of 439 basis points on year-on-year basis. Our PAT, after non-controlling interest for the quarter was at INR 63.2 crore, up by 25.5% on quarter-on-quarter basis and 49.3% on year-on-year basis. Our PAT margin stood at 12.5%. EPS for the quarter stood at INR 10.7 per share, reflecting a growth of 25.5% on quarter-on-quarter basis and 49.1% on year-on-year basis. In terms of segment, our Digital Technologies revenue for the quarter stood at INR 153.1 crore, which is up by 6.1% on quarter-on-quarter basis. Digital Technologies EBIT margin was at 10.8% for the quarter, reflecting an expansion of 388 basis points on quarter-on-quarter basis. Digital Operations revenue for the quarter stood at INR 272.5 crore, which is up by 6.6% on quarter-on-quarter basis. Digital Operations EBIT was at 16.7% for the quarter, reflecting an expansion of 29 basis points on quarter-on-quarter basis. Digital Experiences revenue stood at INR 64.6 crore, a decline by 4.4% on quarter-on-quarter basis. Digital Experiences EBIT margin was at 10.8% for the quarter, reflecting an expansion of 402 basis points on quarter-on-quarter basis. In terms of geographical footprint, the U.S. remains our largest geography, contributing to 56% of our business, followed by U.K. and Europe at 21%, India at 15%, and ROW at 8%. Our client concentration remains very healthy with top 5, 10, and 20 clients contributing to 26%, 39%, and 52% respectively. Talking about half year ending 30th September 2025, our revenue stood at INR 957.8 crore, reflecting a growth of 19.6% on year-on-year basis. Our EBIT for the half year stood at INR 125.4 crore, a growth of 53% on year-on-year basis. Our EBIT margin for the half year was at 13.1%, reflecting an expansion of 285 basis points on year-on-year basis. We continue to maintain a healthy balance sheet. As on September 30, 2025, our net cash and investments net of debt stood at INR 509.4 crores. Our bill DSO was at 55 days as of September 30, 2025 as compared to 57 days as of March 2025. With this, I will now pass on the call to operator to open the floor for questions. Thank you for your continued interest in Datamatics. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shruti Gulati, an individual investor. Please go ahead. Hello. Hello, Shruti. Yes, ma'am, you are audible. Good evening. Thank you. Thank you for connecting me, and thank you for taking my call. First of all, I would like to congratulate the management for gaining such good numbers. Sir, I have one question. Actually, I am curious to know about the broader picture for the company. As AI is coming in a big way and going to replace the human manpower. So what are the perspectives for the future? Can you guide me for that? Can you throw some light on this thing? Yeah. Thanks, Shruti. As we have highlighted earlier as well, we continue to invest in innovative new technologies. Every year, anywhere between INR 40 crore to INR 50 crore we invest in those innovations every year. It has been last couple of years, if we look at it with the advent of GenAI, and the amount of investment which has gone into the AI space, the changes are coming very fast. I think our company is pretty much equipped enough in terms of handling all those new changes which are coming in. We continue to show a strong growth. We continue to work with our customers to provide them the solution, helping them solve the business problems. I would request Mitul to add on to this. Mitul. Thanks, Ankush. Shruti, AI is extremely powerful technology, and we can see a lot more that can be done using AI. Nevertheless, of course, it is still at a nascent stage in terms of adoption. A lot of enterprises are doing POCs and testing out AI in their various corners of the business. Some have already also brought into mainstream. Overall, as a technology, it is extremely promising. Datamatics is also extremely bullish on this technology, and we are investing, as Ankush mentioned. That is the future. We are investing fairly well. We have good partnerships with marquee companies like Microsoft, Google, who are fairly pioneers and leaders in this technology. Net-net, this definitely holds a lot of potential and we are looking towards it. Okay, that's great. As everybody knows, it's a big boom in bulk AI in U.S. So our companies are also under threat of all these things. What is the better perspective you will give for coming years, for the future, for coming 4, 5 years? Is Indian IT company is also under threat? AI as a technology is very powerful. It will definitely change the business models, not just Datamatics. Planning for but anybody who is in this industry. It will change business models, but while this change is happening, we will not be sitting back. We will also be part of that change. As you are aware, Datamatics is about a 50-year-old company, and we have seen multiple waves of these technology changes. I do not know if I want to use the word, but we have adopted or we know how to master the change in technology. We are fairly confident that we will be able to move with the technology. India is also planning its own AI tools rather than we are borrowing from the other countries or we will purchase from them. India is also innovating their own. We are also doing that. AI, there are two types of AI. One is whether you are a company like OpenAI or Google who have their own large language models. To best of my knowledge, we are as a country, I am not sure what is happening at that level. We do not see that. We still see Google and Microsoft, especially in the enterprise side, which we work in, they are focused on. And we are more service providers of building solutions on top of AI. We play in that segment. Mm-hmm. Please share what is the plan to increase our ROE? So, Shruti, Currently, we are. Okay, you want to take that, Ankush? Yeah. Shruti, Ankush this side, and we continue to look at in terms of, as I highlighted, prudent financial management. We are looking at cost very categorically. So cost optimization is something which is there, as well as the growth. So as we have a sustainable, profitable growth, you will continue to see our ROE also improving. If you actually look at as of September, our ROE will be somewhere around 16%. So it's on the improvement track. Okay. Are we doing any acquisitions for them? As of now. Last year we did two acquisitions already, Dextara and TNQ Tech. As of now, while we continue to have a lot of discussions, there is nothing in the pipeline which I can talk about. But we continue to explore new targets. Okay. That's okay. Thank you. Thank you for the reply. Thank you. Thank you. The next question comes from the line of Yajat Shah from Family Office. Please go ahead. Hi, sir. Congratulations on a good set of number. Just have a question. What is our current expense or loss on the AI front? Can you break it down for this quarter and the half year? As we continue to highlight in terms of every year, we basically invest in the newer technologies, including AI. Anywhere between INR 40 crore to INR 50 crore is annualized spend that we do on this front. I would not say it's a loss, but it's an investment which is there for the future growth prospects as well as the benefits that we can reap from that. And that we continue to do it in the future as well. This year also, will it be INR 40 crore, INR 50 crore? Can you break it down in a half year or a quarterly perspective? See, for the full year, we will be in the similar range of INR 40 crore to INR 50 crore. We will continue to invest it. We don't see any reduction as of now in that budget that we have kept for future investments. Okay. So far, half of it has already been done or Yes is there a track to that? Yes. Okay. All right. That is all. Thank you. Thank you. Thank you. A reminder to all the participants that you may press star and one to ask a question. The next question comes from the line of Subhankar Ojha from SKS Capital. Please go ahead. Hi. Thank you. Can you hear me? Yes, Subhankar. Yes, we can hear audible. Thank you. For H1, you had a growth of 19%, and how much of that is organic and how much is inorganic of it? Shubhankar, when we acquired TNQ, which was last year December, and we on 31st of December when we acquired, it is around INR 73 crore-INR 74 crore is the run rate that was there. Okay. Additional to that is all organic growth which is there, which we have been doing it. So even quarter-on-quarter, if you look at it, our growth is 4.8%, which is all organic. Now, all acquisitions are integrated. Okay, great. So if I remember quarter one end, we had talked about mid-single digits sort of a growth guidance for the financial year 2026, but I think we have done better than that actually. Are we still maintaining that mid-single digit sort of organic growth, or we are confident about a better growth for the rest of the financial year? So what we spoke about is organically, we will be doing mid-single digits. Including the acquisition we did last year, which basically you have seen the quarter 4 numbers was reflected of that. We will be closing around mid-teens kind of growth, which is what we see anyways. The year quarter-on-quarter year-on-year growth we see right now. So we will be in the mid-teens for the full year level, Subhankar. Great. In terms of the margin, you had a very strong EBITDA margin this quarter. What is it that you will attribute this margin to, and what is the sustainable margin for this year and the coming year? I think we highlighted even four or five quarters back when we have seen a quarter where our profitability was down. We highlighted that we are continuing to focus on a strategic basis to look at in terms of how we can drive the operational efficiencies, the cost optimization. Those efforts are paying off as we see. Every quarter we see improvement on a quarter-on-quarter basis, which is what we see, and we are fairly confident to sustain the momentum. Okay. So 18% sort of a margin is sustainable. You did talk about some ROE aspiration. I couldn't get that number. I think you did talk about some ROE aspiration that you have. No, we have not talked about any aspirations from an ROE perspective. What we just highlighted right now is in terms of, as of September, our ROE is around 16%. That is what we highlighted. Okay, I got that. Thank you. All the best, sir. Thank you. The next question comes from the line of Bharat Gulati from Dalal & Broacha Stock Broking. Please go ahead. Yeah. Hi, thank you for my question. I just want to clarify that, what would our revenue from our products be for this quarter? We don't- From the AI products. We don't separately carve out and share the information about the AI product specific revenue. What you look at is in terms of the digital technologies revenue that you see is including that product revenue which is there as well. Okay. We have a healthy quarter from a digital technologies perspective. Our quarter-on-quarter growth is 6% in the digital technology, 6.1% to be more precise, in digital technologies revenue growth. So a majority of that growth would be attributed to our products? No, it is a mixed bag. Even products goes as part of our overall solution. So carving out may not be relevant. So I am trying to understand that if margins have almost gone up by 400 basis points, is that attributable because product revenue has shot up? Or is that a mix of our deals also having better margins now? No, it is a mix of deals, mix of operational efficiencies and the cost optimization that we were driving. So it is a complete mix of those things, which is what we see improvement. Rather, we have been working it. That is where you see quarter-on-quarter, the digital technologies margin has improved. Yeah. Just to understand, are these margins in all three verticals going to be sustainable, or are we going to see a slight dip, or is it going to increase even further? So, see, our effort is to basically continue to improve the profitability further to some extent. We may see some softness in the digital experience space. As we highlighted even during the last call as well, we expect one of our customer to transition sometime end of December, basically. Hello? Hello? Hello? Yes, sir. We can hear you. Hi, can you hear me? Yes, Mitul, we can. No, I think someone else is muted. Mitul, are you able to hear now? No, I think Mitul can't hear. Give me a moment. We will do the mute full. Sorry, Shubhangkar. Shubhangkar, right? Bharat. Bharat, sorry. My bad. What I was saying is in terms of, we continue to look at in terms of optimizing the efforts, the digital technologies and digital operations. We are fairly confident of sustaining and improving the profitability. Digital Experiences might see short-term challenges and softness, but we are confident enough that we will turn around that as well. Got it. Just to understand, so we have about 500 odd crores of cash, and we are pretty with cash flows as well. Just to understand, are we planning to do any acquisition this year? I understand that you said earlier that you all are looking out, but is there a plan this year to acquire and continue inorganically growing? We basically look at in terms of the right target or candidate. If we find it, we may do it. But as of now, there is nothing in the close pipeline which is there. We will continue to explore and see how we can utilize it better. Got it, sir. Thank you. That is it. Thank you. Thank you. The next question comes from the line of Grishma Shah from Envision Capital. Please go ahead. Yeah. Hi, good evening. Thanks for taking my question. As observed from your presentation, the digital operations division continues to do reasonably well. I am talking about year-on-year, that should be primarily because we have done the acquisition. But the other two segments continue to see reasonable softness on a year-on-year basis. So how does the second half look like for us? I think as highlighted in terms of from a full year perspective, we are still maintaining in terms of having a mid-teen kind of growth, including acquisition or mid-single digit growth from an organic basis. The growth will be coming across board from DO, DT. And DE, we may see some softness as I highlighted earlier already. Okay. There was challenges that we have seen in the DT space where we have seen some reduction. But right now we are fairly confident in terms of the way things are changing, and the Western markets, at least the softness and the slowness that we have seen in the past seems to be bottoming out. We may see the positive outcome in the near future. Okay. How has Dextara performed on a year-on-year basis? I am sure you are not giving numbers, but at least if you could tell us that, is it growing rapidly as it used to before we acquired it? It has been going good. We have integrated it fully. What we are seeing is in terms of the positive traction across our customers, whether the deal sizes that we have seen is also increasing now. It is going good overall, Grishma. Okay. You do not see any customer challenges in digital technologies division going ahead. It is only experiences that would see some challenges, right? Experiences. That too, only one customer basically, decided to transition out to their captive. That is the only challenge. Otherwise, from a delivery perspective, we do not see any challenges. Okay. I see the margin improvement in Digital Experiences on a sequential basis. I am assuming a lot of pain has settled down. Yes. I think we still expect that the one customer transitioning out is in quarter 3, so we may see Okay some risks here and there, but we are closely watching and Of course we will try to mitigate any risk which is there. Okay, fine. Thank you so much and good luck. Thank you. The next question comes from the line of Sumukh from Koerner Capital. Please go ahead. Hello, am I audible? Yes, sir, you are audible. Thanks for the opportunity and congratulations on the great numbers. My question is more on the industry. When we see the IT services industry, we have a few companies that the EBITDA margin of IT services varying from 15%-25%. What could be the contributor to this high range of EBITDA margins across? Is it the geographic mix or vertical mix or tier 1 to employee mix or what is it, sir? If you can comment on that. There are multiple things which are there. If you look at the tier 1s like TCS and Infosys, their operating margin is anywhere between 23%-25%. When it comes to mid-tier companies, on an average it will be around 14%-15% kind of EBIT margin, which will be there. Some of them might be commanding 17%-18%. Some will be in the lower range. But average is around 14%-15% of EBIT, which is there. It is largely to do with in terms of the kind of mix which is there, the pricing that one can command, the kind of utilization which is there, kind of deals which are there. There are multiple different reasons which are there. Some of the things which will be there in terms of some of the things will be with respect to the shore mix which is there, the utilization, what they can drive, the kind of investments which they are making in the future as well defines the kind of margins they are maintaining. As highlighted, we basically spend anywhere between INR 40 crore-INR 50 crore every year, which goes through the P&L. It is not capitalized. It is a hit to the P&L. Okay, sir. Got it. One more, since this INR 40 crore-50 crore that you guys are investing. Any light on that, where are you guys investing this? Are you building a tool or a product for any specific use case for your client or any light on that, sir? Nitin, if you want to take this question. Yes, sure. We are investing this money in more emerging technology. Right now it's AI. What we are doing is, one is we are experimenting in how we can build in operations excellence. We can use built-in accelerators, platforms. We add them in our products and so on, so forth. So it basically is used across all the lines of businesses, so that's where we are currently investing. Can you give an example of the use case of how this can help your client or anything that you guys are working on currently? So for example, for DTV, we are building accelerators which help in speed up the entire application development, testing. These are the ones which are all GenAI-based. FINATO, which is our finance transformation platform. So we are using AI in that platform to speed up and more accurately process payments, orders, make payments, and so on, so forth. Similarly, in customer experience, we are augmenting our agents with AI agents, which would enable them to give a faster turnaround time of resolution and so on, so forth. Okay, I got it. So my guess is you guys use products from Microsoft, like Copilot or Gemini from Google and build your tools on top of these LLMs. Is that correct? Right. We use the core AI from Microsoft, from Google, and also various open sources which are there in the market. So there are many LLMs. So depending on what is the best fit, that is what we do, and we build our solutions on top of that. Oh, okay, sir. That answers my question. Thank you, and all the best for the next quarter. Thank you. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in the conference, please restrict yourselves to two questions. The next question comes from the line of Atul from Sunidhi Securities. Please go ahead. Yeah, thank you for the opportunity. Am I audible? Yes, sir, you are audible. Yeah. So congratulations on the good set of numbers. So my question is on the AI projects which we have delivered in this quarter. So basically, we have mentioned in our PPT that we have developed some SLMs in partnership with Microsoft. So if you could, sir, give us some idea that what type of projects we have developed and who are the clients, and if you could give some overview on that part, that will help us to understand the projects which we are delivering. We cannot give details of clients and projects because we are under NDA with most of our clients, so we will not be able to do that. But to answer is, of course, while the industry is looking at AI to further automate and operationalize, build them into their operations, we are doing a lot of these POCs, which require LLMs and SLMs to be built on top of it and test it out in the market. And once if it is proven to be well, it further goes into production. But unfortunately, because of our NDAs, we will not be able to get any more details or any specifics on that. Right. Yeah, that is fine, sir. Thank you. Thank you so much. Thank you. A reminder to all the participants, please restrict yourselves to two questions. The next question comes from the line of Dhanashree Jadhav from Choice Institutional Equities. Please go ahead. Hi. Congratulations, management. Great set of numbers, great execution. I have two questions on your digital experience business. Sorry. Dhanashree, your voice is breaking up. Sorry. Is it now audible? Yes, Dhanashree, you are audible. Yeah. Just be a bit loud. Yeah. My first question was with respect to Digital Experiences, wherein we are seeing this client transition happening in Q3. If you can throw some more insight to this client about the transition of captives, and when should we see a recovery? I mean, excluding this client, how should we see this business growing in coming quarters? Second question is on, we have chatted about cost optimization and other factors, which is helping the margin expansion, very strong margin expansion across the three segments we have witnessed. But any other qualitative aspects in terms of pricing to it or AI-led levers to the margins? That would be helpful. Lastly, the double-digit growth that we expect. I mean, you have said the overall growth should be mid-teens for FY 2026. If you can give some vision on how should we see our growth even beyond that. What are the areas or category we are looking for to scale our growth ahead going forward? Yeah, these are the three questions. The first thing what you asked with respect to Digital Experiences, this has nothing to do with from a quality perspective. I think the customer was having their captive and they decided to move to their captive. That was one reason which they basically have gone. We are fairly confident and looking at in terms of how we can backfill those losses which are there. We will be able to, at least in the coming future, we continue to sign up new deals with marquee logos. I highlighted this during our commentary as well. We continue to sign up new logos, expand in the existing customers as well. We will be able to recover it in next few quarters, any losses which are there from that perspective. From a cost optimization perspective, again, what I highlighted is in terms of since last four quarters, we have been looking at it strategically in terms of how we can drive the operational efficiencies, how we can optimize the cost, have a lean cost structure. That is something which has been helping us in terms of driving the kind of numbers that we see from a profitability perspective. It has been a strategic initiative that is being driven by the leadership team, looking at each cost elements, looking at in terms of how we can drive the operational efficiencies. How are we pricing our deals as well, is something that we are looking at, kind of margins that we maintain, which is helping us across board. From a growth perspective, again, what I highlighted is in terms of including the acquisitions, we will be able to maintain mid-teens kind of growth. From organic perspective, it will be mid-single digit kind of growth that we will see. From what I highlighted earlier in terms of the western market, U.S. and European market, which is there, we see that the softness that we have seen from last few quarters is bottoming out, and we may be able to see a positive outcome in the near future. We are hopeful of seeing a positive traction with our customers. Okay. Yeah, that is really helpful. Thank you. Thanks for answering all the questions. Thank you. The next question comes from the line of Rahil from Sapphire Capital. Please go ahead. Hi, good evening. Can you hear me? Yes, sir, we can hear you. Okay. Just revisiting this, the investment- Sorry, you have to be slightly louder at least. Yeah, your voice is. Can you be a little louder? Is this better? Yes. Yeah. Revisiting the discussion on the investment front, which you have repeatedly mentioned during the call of INR 40 crores to INR 50 crores annually. Firstly, what I want to know is, how long has this been going on for this particular figure? Is this to be treated or considered as a CapEx? Let's say, for example, a manufacturing firm does. Let's say they are setting up a capacity and then it gives a certain asset turn. Is this something which is just like a general expense for this kind of a business? What I am trying to understand is, let's say you have been doing this INR 40 crores to INR 50 crores annual expense for the past three years, and now from year four or year five, it will give us a certain kind of a boom in our growth trajectory. Because we are still kind of guiding for mid-teens kind of growth. I am trying to understand if this investment in AI will lead to 25%-plus growth for coming 3 years. Just your outlook on that. The investment is something which is must for our kind of organization, specifically the IT. The technology is going through a rapid change. If we do not invest in the new innovations, new technologies, we may not stay relevant. To stay relevant, we have to continue to invest in the business, and that is something that we have been doing from last few years. This is something we as an organization, have decided not to capitalize. We basically continue to expense it out every year. That is something which we have been highlighting it last, I think at least couple of years we have been highlighting it. That we expense it out. We do not capitalize these expenses. Okay. Let us say if Datamatics wants to grow 25%-plus in the next 3 years or maybe at some point, what needs to be done? Are these investments not enough? If there is some other strategy which you can lay out for us. Strategically what we have been doing is in terms of there are multi levels that we are looking at, okay? If you have gone through our presentation as well, what we have been looking at is in terms of one from a U.S. and European geography. We have been specifically focused on those geographies. We have invested in the sales team in those geographies. Strengthening it, making sure in terms of we have the right people to drive the growth across customers. That is one thing that we have been doing is. The second is in terms of from an AI and the technological innovation investments which we continue to do. We have been doing it every year. We have quite a few products which are there in the AI space, the TruBot, TruCap+, TruAI, TruDiscovery, which are there. Which we basically go back to our customers to showcase the value, give them in terms of the kind of business problems solutions that we can give, and how we can drive the benefit to them. Another thing which is there is in terms of we were specifically focused on. Hello. Yeah, I'm there. Yeah. Another thing which is there is in terms of we continue to look at in terms of the specific Hello, am I audible? Yes, you are. Yes. We are specifically focused on driving the industry-specific solutions. We are basically focused on the key industries which are there, where we are looking at in terms of how we can drive the cross-sell, up-sell benefits. We have the hyperscalers. We are partnering with Microsoft, Google, Salesforce, which should help us in the near future in terms of getting the growth. Mitul, you want to add something? I think, yeah, you've covered most of them. If I could quickly jump in. Given the current ground scenario, for a company like us in this industry, and you're saying traction is coming through from customers and the way you invest in U.S. and Europe. Given our position is a 25% or 30% kind of growth possible at this moment or is still way ahead of us? See, I would not put it in terms of that 25%, 30% is possible or not possible. We, as management team, continue to work in terms of how we can maximize the value. From a revenue maximization and profit maximization perspective, we continue to work and we may see the positive outcome in the near future. All right, sir. Thank you so much for answering and all the best to you. Thank you. The next question comes from the line of Srinivasu from TIA. Please go ahead. Hi, sir. Congratulations for the great set of Q2 numbers. My question is about the industry overview of agentic workflows. If you see the global orchestration players like ServiceNow, Pega, Salesforce are talking very big about these workflows and adoption across industries. That generally spills over to services companies like Datamatics. You have a moat in TruCap+, FINATO, where you are already building products towards this. Are you seeing more AI packages to sell, bigger deal sizes, or are you able to cross-sell? Are you seeing these kind of trends? Agentic is definitely a very promising technology where autonomous agents would do better, would do more hectic call decisions and will automate things faster. That was one part. Second is, the question is, we see, as I mentioned in one of the earlier responses, we are fairly bullish about AI as a technology and what capability it would bring to the table, and agentic is one of the part of it. Going forward, we definitely are integrating AI into all our solutions, products, services. It is going to be imperative for any organization in this business to adopt AI. The short answer is, yes. Even customers are looking for it, and we are there to service that need. Currently you are serving traditional workflows than agentic workflows. That is what you are trying to say, and you are trying to address this as well. Correct. It is a transition thing, because you cannot overnight move into agentic workflows, because agentic workflows also would need a large amount of datasets and various compliance. There are multiple factors which will allow agentic workflows to evolve or not, which of course means customers should be open to that, number one. Number two is the industry which they work in should be compliant. If it is a compliance-driven industry, then what are the government rules and regulations around it? There are multiple factors external to just the technology. We have to be cognizant of that fact, that whether it will allow us to do it. Wherever possible, definitely we will be trying to deploy them. Thank you, sir. Best of luck. Thank you. Thank you. A reminder to all the participants that you may press star and one to ask a question. The next question comes from the line of Yajat Shah from Family Office. Please go ahead. Hi. Just wanted to ask the current revenue of our recent acquisitions like TNQ Tech and Lumina. What was it for this quarter, and what was the EBITDA margin as well? Are we integrated with the synergies that we were talking about a few quarters ago? We don't report those numbers separately as of now. TNQ Tech, when we acquired, what we highlighted, it was anywhere around INR 73 crores is the revenue numbers which was there. We continue to integrate it well. They are showing good traction, good results as well. Can we have a figure, if you don't mind? For that, if possible. See, it is part of my digital operations. You can look at the overall digital operations. We close to INR 272 crores of revenue this quarter. Okay. Just one more question. It was already high-margin business. With this synergy and integration, is there even higher margin possible? We are maintaining the similar kind of margins which used to be there. Okay. All right. That will be it. Thank you. Thank you. The next question comes from the line of Bimal Parekh from Sunidhi. Please go ahead. Thank you very much for giving me a chance and congratulations for a great set of numbers. Most of my questions have been answered on the research side. The R&D, which we do around INR 40 to INR 50 crores, which we spend every year. I just wanted to know that under which particular division do we consider it as a cost? It is basically largely into the DT space which is there. Okay. So typically that means that our EBITDA would have been higher by INR 20 crores if you would have capitalized it, right? Yes. So the margin would have expanded to that extent? Yes, sir. Okay. On the other thing, which I just wanted to understand from you is that what kind of ROIs are the customers getting when they are adopting AI, which you all implement? Just a ballpark number or an average number, if you could give us some understanding how AI is changing the landscape for customers. I will request Mitul Mehta to pick it up. Sure. Thank you. I do not think there is a definite answer to this one, but let me try and answer that. One is a lot of customers are right now in the early stages of adoption, POCs. They are looking at what further automation AI can bring to them, number one. Number two is ROI is also subject to the scale and the complexity of the process or of technology what they are adopting. It is not a very straightforward answer that this is the kind of ROI they are getting. A lot of times ROI is not just a cost-based ROI, but it is an opportunity-based ROI, where enterprises we have seen are able to do things much faster and therefore their turnaround time is better to their customers, which bring in a different kind of customer they like. Also, we have experienced with one of our credit rating customers where because of AI, they were able to launch a completely set of new offering which earlier was not possible. Every industry, every customer has its own way of calculating an ROI. I do not know whether that answers your question, but that is where. But is this definitely helping customers? I mean, they would be measuring it to something in their operations to understand whether the other divisions need to go for AI adoption or not. That's also a very good question. One of the things which— Of course, there is a peak of expectation of AI in the market. People think that AI is a magic wand and everything can be done through AI. However, whenever we consult our customers, we always tell them that you have to be very selective of where AI can be useful, where AI cannot be useful. For example, things which are scalable and not that complicated, that should be the first places where you should bring in AI and transform where the datasets are available and so on and so forth. Versus you take the most complex case in your enterprise and try to solve that with AI. That may not be the best candidate for it. That part of consulting is something which we give to our customers, and that's what also helps them to get the right set of success and ROI and set a right expectation within the organization. So yeah, that's where we are. Okay. Sir, the last thing that I wanted to understand is— Any which ways, I'll come back in the line for the question. Thank you so much. Thank you so much. As there are no further questions, I would now like to hand the conference over to management for closing comments. Thank you everyone for being on the call with us today. Once again, we wish you a very happy Diwali and look forward to meeting you in the next quarter. Thank you. Yes. On behalf of Datamatics Global Services Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines.