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Fractal Analytics share price: AI stock rallies 12% after Q2 results - Net profit soars 139%, revenue crosses $100 mn

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In short

The company's performance was bolstered by a 71% year-on-year rise in adjusted EBITDA, which pushed margins up by 123 basis points to reach 16%. Significant enterprise interest in artificial intelligence models catalyzed growth, led by an extraordinary 79% expansion in the healthcare and life sciences division. Additionally, the business supports its technical capabilities by deploying more than 6,000 global staff and reinvesting over 6% of revenue into research and development. Despite this momentum, the shares remain approximately 27% below the peak level recorded in May 2026.

Key points

  • Expanding enterprise artificial intelligence adoption is helping accelerate the company's…: Expanding enterprise artificial intelligence adoption is helping accelerate the company's revenue growth across key industries.
  • Profitability improved substantially as adjusted EBITDA margins expanded by 123 basis poi…: Profitability improved substantially as adjusted EBITDA margins expanded by 123 basis points to 16%.
  • Substantial investments continue into proprietary platforms, with over 6% of revenue funn…: Substantial investments continue into proprietary platforms, with over 6% of revenue funneled into artificial intelligence development.

Sources checked by our analysis pipeline: 1

Shares of Fractal Analytics rallied as much as 12% on Wednesday, November 4, after the artificial intelligence (AI) company reported strong earnings for the September quarter of FY27. The stock climbed to an intraday high of ₹820.75 on the BSE, compared with its previous closing price of ₹732.60.

The strong rally followed a sharp improvement in profitability, double-digit revenue growth and an expansion in operating margins. The company also reported its first-ever quarter with operating revenue crossing the $100 million mark, reflecting continued demand for its enterprise AI solutions.

Fractal Analytics reported a 139% year-on-year (YoY) jump in net income to ₹79.2 crore in Q2FY27. Consolidated operating revenue increased 20% YoY to ₹956.5 crore, marking the company's first quarter with revenue exceeding $100 million.

Adjusted EBITDA grew 71% YoY, while the adjusted EBITDA margin expanded by 123 basis points to 16%.

For the quarter ended September 30, 2026, revenue increased 10% in constant currency terms. Growth was led by the healthcare and life sciences (HLS) business, which recorded a 79% YoY increase. The banking, financial services and insurance (BFSI) segment…

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