Sonata Software shares surge 10% after profit more than quadruples in March quarter

Shares of Sonata Software, the Bengaluru-based information technology (IT) company, surged as much as 10% to hit an intraday high of ₹297.85 on the National Stock Exchange (NSE) on Friday, May 8, after the company reported its March quarter earnings post market hours on Thursday.

Sonata Software said that its net profit in January-March quarter jumped 4.22 times or 322% to ₹76 crore from ₹18 crore in the same period last year.

Its revenue from operations advanced 55% to ₹411 crore from ₹266 crore in the year-ago period.

"We won 2 large deals in Q4’26 and remain confident on Sonata’s growth momentum, by becoming the strategic partners to our clients to enable the AI modernization journey. We will continue to invest in AI capabilities and partnerships, to further accelerate our pivot to AI," said Rajsekhar Datta Roy, CEO-designate of Sonata Software.

For financial year 2025-26, its revenue from operations stood at ₹2,948 crore, registering growth of 4.2% annually.

In dollar terms, Sonata Software's revenue came in at $328.4 million and its EBITDA (before other income, forex and exceptional items) for FY’26 stood at ₹543.7 crores, growth of 13.1% YoY, Q4’26 stood at ₹157.4 crores, growth of 9.3% QoQ.

The company's AI and modernisation segment won deals worth $16.9 million and AI-led pipeline surged to $280 million. Cloud and data pipeline came in at 43%, Sonata Software said in an investor presentation.

“This quarter, we achieved strong performance in our core cloud platform offerings. We successfully acquired new clients for our cloud services and data protection solutions business areas. We realized YoY growth from key accounts,” said . Sujit Mohanty, MD & CEO of Sonata Information Technology.

Sonata Software shares were witnessing higher than usual trading activity as volumes jumped by 22 times to 1.28 crore shares compared with an average volume of 5.91 lakh shares.

On the BSE, as many as 4.09 lakh shares changed hands compared with an average of 99,000 shares traded daily in the past two weeks.

As of 12:21 pm, Sonata Software shares traded 8.4% higher at ₹293.70, outperforming the NIFTY 500 index which was down 0.4%.