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    IRIS Business

    IRIS
    Information Technology·18 May 2026
    Management Summary

    IRIS RegTech Solutions Limited reported a strong Q4 FY26, with full-year revenues growing 23% and an EBITDA margin of 14%. The company saw robust ARR growth in its RegTech segments (IRIS CARBON 33%, IRIS IDEAL 17%) and expanded its SupTech footprint with 3 new logos. The balance sheet strengthened significantly, with cash at INR155 crores and net worth at INR200 crores, positioning the company for future organic and inorganic growth while navigating market volatility and potential geopolitical risks.

    Highlights

    5

    • Total revenues grew 23% for the full year FY26.

    • EBITDA margin at 14% for FY26.

    • IRIS CARBON ARR grew 33% and IRIS IDEAL ARR grew 17%.

    • Added 3 new SupTech logos in FY26, including the government of Qatar.

    • Cash balance strengthened to INR155 crores as of March 31, 2026, with net worth at INR200 crores.

    Concerns

    3

    • Faced delays in purchase decision-making for IRIS IDEAL in H1 FY26.

    • Potential adverse impact on SupTech pipeline from Middle East crisis if prolonged beyond Q1 FY27.

    • Market volatility necessitates cautious spending on marketing and inorganic growth.

    Key financials

    Metrics

    5

    Periods

    2

    Headline

    3
    • Cash (as of Mar 31, 2026)
      ₹155 Cr
    • Net Worth (as of Mar 31, 2026)
      ₹200 Cr
    • Book Value (as of Mar 31, 2026)
      ₹98

    FY26

    2
    • Total Revenue Growth
      0.23 decimal_fraction
    • EBITDA Margin
      14%

    Segment breakdown

    IRIS CARBON
    33% ARR Growth
    IRIS IDEAL
    17% ARR Growth
    List

    Order Book

    low confidence

    "The SupTech segment added 3 new logos in FY26, including the government of Qatar, and typically targets 3 to 4 wins per year."

    Source:
    Prepared remarks

    Capital allocation

    1
    high confidence
    CategoryHeadline
    Liquidity

    Cash ₹155 crores

    The company aims to maintain sufficient capital for organic growth and potential inorganic opportunities, especially given market volatility.

    Guidance & targets

    7
    CategoryTargetPriority
    Revenue
    Total Revenue Target
    INR500 crores
    		High
    Revenue
    SaaS Business ARR Growth
    approximately 35%
    		High
    Revenue
    Net ARR Growth (Overall)
    around 35% or more
    		High
    Revenue
    IRIS CARBON Growth
    35%
    		High
    Growth
    Overall Growth Rate
    over 30%
    		High
    Deal Wins
    SupTech Wins
    3 to 4 wins
    		High
    Working Capital
    Days Receivable
    75 to 80 days
    		High

    Middle East crisis impact on SupTech pipeline

    post June
    CurrentNo indications of impact yet, but potential if prolonged
    TargetNo significant delays or cancellations in SupTech pipeline

    Why it matters

    Geopolitical stability directly affects SupTech deal closures and revenue visibility.

    But so far, as I mentioned in my opening remarks as well, we are not worried too much unless this really prolongs. So I would start getting worried post June, I would say.

    How to verify

    risks_and_concerns[risk='Prolonged Middle East crisis impacting SupTech pipeline']

    Risks & concerns

    3
    RiskSeverity

    Prolonged Middle East crisis impacting SupTech pipeline

    Potential for delays in SupTech deals if the crisis extends beyond Q1 FY27. — Management acknowledged

    medium

    Market volatility impacting spending and inorganic growth

    Uncertainty in the market necessitates cautious approach to aggressive marketing spend and M&A. — Management acknowledged

    medium

    Regulators' reluctance to adopt AI for confidential data

    Regulators are cautious about using generic AI services for sensitive financial data, requiring specialized solutions like private LLMs. — Management acknowledged

    medium

    Q&A highlights

    7

    “This is something we mentioned in the previous financial year, and we stick to this number. This is our aspiration, and we are setting the conditions for reaching this target. At this point, we believe this will require a growth rate of slightly over 30%over the next 4 to 5 years.”

    Clarifies the company's long-term revenue and growth ambitions post-divestment.

    asked by Samarth Nagpal

    2 min read7 chapters

    Detailed Narrative

    01

    Q4 FY26 Performance Overview

    For the full fiscal year 2026, IRIS RegTech Solutions Limited reported total revenues growing by approximately 23%, with an EBITDA margin of about 14%. The company's financial position strengthened considerably post-TaxTech divestment, with cash in books reaching INR155 crores as of March 31, 2026. Net worth significantly increased to INR200 crores from INR76 crores as of March 31, 2025, and book value rose to INR98 from INR37.

    02

    RegTech Segment Growth (IRIS CARBON & IDEAL)

    The RegTech segment demonstrated robust growth, with IRIS CARBON's Annual Recurring Revenue (ARR) increasing by 33%. This growth was fueled by new wins in disclosure management and the introduction of ESG reporting solutions. The BFSI automated regulatory reporting solution, IRIS IDEAL, also achieved a 17% ARR growth, despite facing some delays in purchase decision-making during the first half of FY26.

    03

    SupTech Segment Expansion

    The SupTech business expanded its footprint by adding 3 new logos in FY26, notably including the government of Qatar for tax reporting, which opened new market opportunities. The company is actively enhancing its iFile SupTech platform to offer comprehensive end-to-end features for regulatory customers, such as risk-based supervision, licensing, and decision management, aiming to become a holistic solution provider.

    04

    AI Integration and Market Outlook

    IRIS is strategically embedding AI technologies into its product stack and software development processes, viewing AI as a significant opportunity. While customers are enthusiastic about AI's potential, management acknowledges a cautious approach from regulators, particularly concerning the adoption of AI for confidential data, leading to exploration of solutions like private or sovereign Large Language Models (LLMs).

    05

    Geographic Expansion and Product Strategy

    The company is actively exploring new geographic markets for its BFSI regulatory reporting solution, IRIS IDEAL, focusing on Africa and the Middle East, and evaluating opportunities in Europe. For IRIS CARBON, the strategy includes exploring adjacent SaaS reporting areas like capital market-related and energy reporting, with a benchmark growth target of 35%.

    06

    Capital Allocation and Growth Strategy

    IRIS prioritizes organic growth, deploying excess capital into IRIS CARBON's sales and marketing in a measured fashion to maintain EBITDA positivity. While open to inorganic opportunities that enhance its RegTech footprint, the company maintains a disciplined, wait-and-watch approach due to current market volatility🌐 and uncertainty, ensuring adequate capital reserves.

    07

    DataTech (IRIS Peridot) Ambition

    The DataTech business, recently spun off into a subsidiary, focuses on scaling the IRIS Peridot app for MSMEs. This platform provides digital enablers such as invoicing, government scheme mapping, and loan facilitation, which was launched on a pilot basis in February with 3 lenders. The company is optimistic about its potential for significant monetization and revenue generation within the next couple of years.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.