Oracle Financial Services Software Q4 FY26 Results: Profit Jumps 38%, Margins Hit 51% 


By Dalal Street Investment Journal (DSIJ)

Summary:

 

Oracle Financial Services Software delivered a strong Q4 FY26, with net profit rising 38% QoQ and margins crossing 51%, marking its best quarter in seven periods. Growth was driven by products and global deals. FY26 saw steady double-digit growth, strong deal pipeline, and ₹400 dividend payout, positioning the company well for AI and cloud-led banking transformation.

OFSS Q4 Result

OFSS Share Price Rally Driven by Q4FY26 Performance

Oracle Financial Services Software had an excellent performance in the quarter and year ending March 31, 2026, due to the growth in all areas including product, service, and international deals.

The March 2026 quarter marked a decisive turnaround in operational performance, with the company posting its highest-ever quarterly revenue and operating profit margins. The net sales figure was up at ₹2,065.20 crore compared to ₹1,965.90 crore in the December quarter. The profit margin ratio also rose significantly from 41.69% to 51.15% in the same period.

Net profit surged 38.07% quarter-on-quarter to ₹841.70 crore and 30.72% year-on-year. The stock responded by jumping 9%, trading at ₹8,854 as of 11.42 AM on April 23, 2026. 

OFSS share price has seen its sharpest single-day rally in over 7-months and the total trade volume recorded on NSE is highest since August 2025.

Oracle Fin Serv Soft Ltd

Trade

8791.5665.00 (8.18 %)

Updated - 23 April 2026
8900.00day high
DAY HIGH
8261.00day low
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2646198
VOLUME (BSE)

OFSS Q4FY26 Performance YoY Comparison 

The quarter ending March 31, 2026 witnessed great performance in terms of financial figures. For the fourth quarter of fiscal year 2026, the revenue amounted to ₹2,065 crore, which is a 20% growth from last year. The net income in Q4 saw a remarkable rise of 31%, amounting to ₹842 crore. Operating income rose 39% to ₹1,049 crore. The operating margin in Q4 grew remarkably to reach 51%, against 41.7% recorded in the same quarter last year.

Metric

Mar'26

Dec'25

Sep'25

Jun'25

Mar'25

Dec'24

Sep'24

Revenue (₹ Cr)

2,065.20

1,965.90

1,788.80

1,852.20

1,716.30

1,715.20

1,673.90

QoQ Change (%)

5.05%

9.90%

3.42%

7.92%

0.06%

2.47%

Net Profit (₹ Cr)

841.7

609.6

546.1

641.9

643.9

541.3

577.7

QoQ Change (%)

38.07%

11.63%

-14.92%

-0.31%

18.95%

-6.30%

Operating Margin (%)

51.15%

41.69%

42.22%

45.69%

44.56%

41.62%

44.84%

PAT Margin (%)

40.76%

31.01%

30.53%

34.66%

37.52%

31.56%

34.51%

Products and Services: Segment Performance

The products segment contributed ₹6,942 crore accounting for about 90% of revenue in FY26, growing 12% year-on-year. The services segment delivered ₹730 crore with 16% growth. In Q4 specifically, products revenue stood at ₹1,871 crore, up 21%, while services contributed ₹194 crore, up 11%.

Full Year FY26; The Bigger Picture

The company recorded consolidated revenue of ₹7,672 crore in FY26, reflecting a 12% increase over the previous year. Operating income rose to ₹3,410 crore, up 13%, while net income stood at ₹2,639 crore, growing 11%.

The company reported remaining performance obligations of ₹7,761 crore as of March 31, 2026, indicating a strong deal pipeline and future revenue visibility. Multiple deal wins were recorded across global markets, including partnerships with banks and financial institutions for core banking, analytics, risk management, and cloud-based financial services solutions.

Metric

FY 2026

FY 2025

Growth (%)

Revenue

₹7,672 crore

₹6,847 crore

12%

Operating Income

₹3,410 crore

₹3,007 crore

13%

Net Income

₹2,639 crore

₹2,380 crore

11%

Products Revenue

₹6,942 crore

₹6,214 crore

12%

Services Revenue

₹730 crore

₹632 crore

16%

Employee count stood above 9,100 at the end of FY26, reflecting workforce expansion to support global operations. Employee turnover rate remained controlled at around 9 to 10%, indicating workforce stability.

Dividend Announced

The Board of Directors declared a second interim dividend of ₹270 per equity share for the financial year 2025-26. The record date for the dividend is May 7, 2026. Earlier in FY26, the company had also declared an interim dividend of ₹130 per share in October 2025. Including the second interim dividend of ₹270, the total dividend outflow for the year comes to ₹400 per share, reinforcing the company's consistent track record of returning cash to shareholders. The company has been maintaining a healthy dividend payout of 99.3% and has a 3-year return on equity of 27.8%.

Dividend History of OFSS:

Ex-Date

Dividend Amount
(In Rs)

Dividend Type

Record Date

07 May 2026

270

INTERIM

07 May 2026

03 Nov 2025

130

INTERIM

03 Nov 2025

08 May 2025

265

INTERIM

08 May 2025

07 May 2024

240

INTERIM

07 May 2024

09 May 2023

225

INTERIM

09 May 2023

13 May 2022

190

INTERIM

17 May 2022

17 May 2021

200

INTERIM

18 May 2021

19 May 2020

180

INTERIM

20 May 2020

AI and Cloud: The Strategic Direction

The company keeps its efforts on leveraging artificial intelligence and cloud-based platforms to create efficiency, automation, and speed in development processes. The cloud-deployment features of Oracle FLEXCUBE products have been an important selling point for its offerings to the customers in the banking industry that is undergoing modernization of their core platforms. Banks across the world are currently modernizing their systems, adopting new digital solutions, and upgrading their payments and risk and compliance infrastructures, which makes OFSS a primary beneficiary of the trends mentioned above.

About the Company

Oracle Financial Services Software Limited, trading at NSE & BSE as OFSS, is the largest Indian company providing software solutions to financial institutions. It is an affiliate company of Oracle Corporation, which designs software applications utilized by financial institutions globally. One of its main products is Oracle FLEXCUBE, which is among the most popular core banking solutions worldwide. The firm generates most of its income from its products and services businesses.

About the Author

SEBI Registered Research Analyst (INH000006396).


Founded in 1986, Dalal Street Investment Journal (DSIJ) brings decades of experience in India’s equity markets. DSIJ's research combines fundamental analysis with price action, guided by disciplined risk management and capital preservation. They follow a structured, data-driven approach designed to help investors and traders make informed decisions beyond short-term market noise. 

Published Date : 23 Apr 2026

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Content Partner - Dalal Street Investment Journal Wealth Advisory Private Limited



This article is for educational purposes only and should not be considered investment advice. Market investments are subject to risks. DSIJ Wealth Advisory Private Limited is a SEBI-registered Research Analyst (Reg. No: INH000006396) and Investment Adviser (Reg. No: INA000001142). Please consult your financial adviser before investing. 

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