TLDR: Latent View Analytics saw its shares climb nearly 8% following a robust Q1 FY26 performance, marked by a 30% rise in net profit and a 32% increase in revenue. The company reported its tenth consecutive quarter of revenue growth, driven by strong financial services momentum and the addition of new clients. A significant highlight is the increasing traction in its Generative AI (GenAI) practice, which is projected to double and contribute 12-14% of total revenue by FY26, signaling a strategic focus on AI-powered solutions.
Latent View Analytics, a prominent data analytics company, experienced a significant surge in its share price, climbing nearly 8% to reach Rs 466.85 on the BSE on July 22, 2025. This upward movement was largely attributed to the company’s strong first-quarter operating performance for fiscal year 2026, which aligned with market expectations.
The company reported impressive financial results for Q1 FY26, showcasing its tenth consecutive quarter of revenue growth. Consolidated net profit jumped 30% year-on-year to Rs 50.6-50.8 crore, while total revenue from operations increased by 31.9-32% year-on-year, reaching Rs 236 crore. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 31.6% year-on-year to Rs 50.4 crore, although the EBITDA margin saw a slight contraction of 10 basis points year-on-year, settling at 21.4% in the June 2025 quarter. Profit before tax also saw a healthy rise of 18.9% year-on-year, amounting to Rs 62 crore.
Driving this growth was a robust performance across various verticals, particularly the financial services practice, which demonstrated strong momentum with a 21.3% sequential growth and a 48.4% year-on-year increase. Latent View Analytics also successfully onboarded seven new clients during Q1, which are expected to contribute significantly to growth over the next 12-18 months. The management has reiterated its medium-term goal of achieving $200 million in revenue by FY28 and forecasts an 18-19% year-on-year dollar revenue growth for FY26, citing a strong order book and pipeline.
A key strategic focus for Latent View Analytics is its Generative AI (GenAI) practice. Rajan Sethuraman, Chief Executive Officer of LatentView, stated, ‘We are witnessing increased traction in our GenAI practice and anticipate that it will double, contributing 12-14% of our overall revenue by the end of FY26.’ The company is actively working on embedding all facets of AI into its business processes and investing in talent upskilling for advanced analytics. This commitment to AI is exemplified by a recent collaboration with an American Heating, Ventilation, and Air Conditioning (HVAC) MNC to develop a demand forecasting model integrated with a GenAI chatbot for real-time insights. Furthermore, Latent View is dedicated to building cutting-edge solutions powered by GenAI and Agentic AI.
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ICICI Securities has maintained an ‘ADD’ recommendation on Latent View Analytics, setting a target price of Rs 490, based on a valuation of 38 times the estimated EPS from Q3FY27 to Q2FY28. The company anticipates strong sequential growth in Q2 to offset any softness experienced in Q1, and its Decision Point segment, acquired a year ago, is also poised for accelerated growth.
