Firstsource Solutions Ltd.

NSE: FSL · Business Process Outsourcing (BPO)/Knowledge Process Outsourcing (KPO)

52W Range₹202 ₹381

Snapshot

Unlock Firstsource Solutions Ltd.'s vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

Firstsource Solutions Limited is a global provider of business process management services, specialising in customer lifecycle, mortgage, and digitally enabled engagement solutions. The company serves diverse sectors including banking, healthcare, telecom, media, and utilities.

Business Model

The company generates revenue by providing outsourced business process management, contact centre operations, and digital transformation services to enterprise clients. It leverages a combination of human-led support and intelligent automation to manage complex workflows across the customer lifecycle.

Growth Outlook

Growth is driven by the increasing demand for digital transformation, intelligent automation, and data analytics within the healthcare and financial services sectors. The company continues to focus on expanding its digital-first service offerings to improve operational efficiency for its global client base.

Key Risks

  • Client Concentration. Significant reliance on a limited number of large enterprise clients in the banking and healthcare sectors could impact revenue if major contracts are lost.
  • Data Privacy and Security. As a handler of sensitive financial and healthcare data, the company faces substantial risks related to cyberattacks, data breaches, and evolving global regulatory compliance requirements.
  • Wage Inflation and Talent Retention. The BPO sector is highly labour-intensive, and rising wage costs or high attrition rates in key delivery centres could compress operating margins.
  • Geopolitical and Currency Risk. Operating across multiple international jurisdictions exposes the company to fluctuations in foreign exchange rates and potential changes in cross-border trade policies.

Price

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Key Metrics

REVENUE

₹9,556 Cr

TTM · consolidated

+19.7%YoY

NET PROFIT

₹674 Cr

TTM · consolidated

+13.4%YoY

EPS

₹9.76

TTM · consolidated

+13.0%YoY

RETURN ON EQUITY

16.2%

TTM · consolidated

+0.6 ppYoY

RETURN ON CAPITAL EMPLOYED

18.5%

TTM · consolidated

-0.4 ppYoY

P/E

27.2x

Q4 FY26 · consolidated

27.2 vs 43.2x5Y avg

EV/EBITDA

12.8x

Q4 FY26 · consolidated

12.8 vs 25.8x5Y avg

EBITDA MARGIN

16.4%

TTM · consolidated

+1.3 ppYoY

NET PROFIT MARGIN

7.9%

Q4 FY26 · consolidated

+0.5 ppYoY

DEBT TO EQUITY

0.4x

Q4 FY26 · consolidated

+0.07xYoY

Peers · Business Process Outsourcing (BPO)/Knowledge Process Outsourcing (KPO)

CompanyMkt Cap (Cr)P/EEV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
Firstsource Solutions Ltd.FSL
15,38827.2012.8019.7%16.4%16.2%18.5%-25.2%
eClerx Services Ltd.ECLERX
13,81913.4913.7522.3%28.0%29.8%35.2%-50.7%
RPSG VenturesRPSGVENT
2,001-21.345.5117.8%14.5%0.1%9.4%-1.1%
Hinduja GlobalHGS
1,660-17.564.25-2.2%15.1%0.1%1.5%-21.1%
One Point OneONEPOINT
1,17530.3013.9329.0%11.5%14.0%+5.0%
Alldigi TechALLDIGI
1,12915.156.779.6%28.6%32.0%31.3%-14.6%

As of Q4 FY26

Financials