Coforge’s share price is up by around 8% after announcing its Q4 FY26 results, driven by strong revenue growth and an optimistic outlook for the upcoming fiscal year. The company reported a remarkable increase in its financial performance, showcasing its effective use of AI to enhance profitability. Key financial highlights: Coforge reported Q4 FY26 revenue of ₹4,450.4 crore, reflecting a 30% increase year-over-year (YoY). In dollar terms, revenue stood at $489.1 million, marking a 21.2% YoY rise. The EBITDA came in at ₹916.8 crore with an EBITDA margin of 20.6%. Coforge’s net profit surged by an impressive 144.8% quarter-over-quarter (QoQ) to ₹612.3 crore. That context matters because it highlights how Coforge is leveraging AI productivity to drive these impressive numbers. The company’s management noted that for FY26, total order intake reached $2,262 million, while its executable order book for the next 12 months stands at $1.75 billion—up 16.4% YoY. Sudhir Singh, Coforge’s CEO, remarked, “FY26 marked another year of exceptional performance for Coforge. We delivered strong YoY growth at 29.2% and expanded EBIT margins materially by 370 basis points to 14.4%.” This statement underscores the company’s strategic focus on enhancing its operational efficiency. Analysts are optimistic about Coforge’s future; approximately 70% have issued a Buy rating on the stock. Motilal Oswal has set a target price of ₹1,800 for Coforge, suggesting an upside potential of up to 54%. Meanwhile, Nuvama has a higher target price of ₹2,200, emphasizing the company’s focus on improving profitability and cash flows. But what remains uncertain is how the impact of AI will affect traditional IT services pricing going forward. Investors should keep an eye on whether Coforge can sustain its impressive Q4 EBITDA margin of 20.6%, as well as whether the benefits from AI-led productivity continue to reflect positively in profitability. Post navigation SBI Employees Strike: What Are Their Demands?