Debasis Mohapatra
Bengaluru, 22 May 2025
Sonata Software posted a largely inline FY25 performance. Though revenue grew handsomely, margins came under pressure.
Here is a snapshot of its FY25 financials:
| Particulars | FY25 | YoY Rise/Fall |
| Consolidated Revenue | $1.2 billion | 15.5% ↑ |
| Revenue from International Business* | $335.5 million | 3.7% ↑ |
| Revenue from Domestic Business (India)* | $868.7 million | 23.4% ↑ |
| Consolidated EBITDA Margin | 6.7% | 1.6% ↓ |
| EBITDA Margin of International Business | 17% | 4% ↓ |
| EBITDA Margin of Domestic Business | 2.8% | 0.1% ↑ |
| Headcount | 6,369 | 353 ↑ |
- Consolidated revenue comprises international business and domestic business (India) revenues.
Insights:
- 45% of active pipeline consists of large deals.
- Fall in EBITDA margin of international business has to be arrested for improving margin in FY26.
- Domestic business remains steady. Amid Trump tariffs, the Bengaluru-headquartered firm may see less volatility in its earnings in FY26 as compared to its peers because of higher share of domestic (Indian) business.
(Source: Company Filings & Investor Presentation)
