Coforge targets $5,000m revenue by FY30 with AI

The FY30 target and what Coforge is betting on

Noida-headquartered IT services firm Coforge has set a target of reaching $1,000 million in annual revenue by FY30, positioning enterprise AI spend and larger transformation deals as key drivers. Management has framed the ambition as an extension of the approach the company has followed over the past nine years, rather than a sharp strategic pivot. The company expects revenue to rise from about $1,470 million in FY26 to $1,000 million by FY30, primarily through organic growth and supported by acquisitions. Coforge is also focusing on market-share gains in traditional IT services alongside AI-led engineering work.

Revenue bridge: from FY26 to FY30

The company’s base for the plan is a business that management described as operating at more than a $1,500 million revenue unit, with an intent to reach a $1,000 million run rate “at the earliest possible.” The FY30 plan is also framed around expanding existing large accounts, with the company reporting that it has increased the number of customers generating $10 million to $100 million in annual revenue. Coforge believes some of these accounts can become significantly larger over time. Management’s narrative links these account expansions to a stronger deal pipeline and improved execution rather than a change in end markets.

Large deals and record executable order book

Coforge said it signed five large deals during the quarter. It also reported that the executable order book for the next 12 months touched a record $1,750 million, improving revenue visibility. In earlier disclosures included in the provided material, annual order intake in FY24 was described as being in the $1,600 million to $1,900 million range, with a 12-month executable order book approaching $100 million to $1,000 million at that time. Together, these figures show the company’s emphasis on converting signed business into near-term revenue.

Quarterly performance snapshot: dollar and rupee revenue

For Q4, Coforge’s dollar revenue rose about 1.7% to $189 million. The company also reported rupee revenue rising about 6% to around ₹4,450 crore for the quarter. Separately, the company reported full-year revenue of ₹9,179 crore, up 14.5% year on year. These figures were cited alongside commentary that demand has revived despite ongoing discussion of technology budget tightening in Western markets.

Margin guidance: focus on expansion

Coforge guided for a consolidated EBITDA margin of over 20.5% in FY27, compared with 18.6% in FY26. Management also referenced “more than 200 bps improvement” in margin on an ongoing basis, and indicated that FY28 could see further expansion beyond FY27 levels. In a separate statement included in the material, the CEO said he expects margin to go up by at least 140 basis points in FY26 despite subdued demand and the macro environment. The company has linked margin improvement to a preference for larger deals, which it says enhance visibility and support longer-term profitability.

AI-led engineering and partnerships

Coforge is positioning itself as an AI-first organisation, with 40% of incremental investment in FY25 planned for artificial intelligence. The company’s AI strategy includes partnerships with academia, and it cited agreements signed with MIT and the University of Pennsylvania. Coforge also plans partnerships with clients, hyperscalers, low code and no code developers, and emerging analytics players. It has said it is building IP through an AI Centre of Excellence that has 15 accelerators, while also ensuring sufficient cloud computing power to leverage generative AI.

Encora combination and the “$1,000m core”

Coforge has also discussed scale in Data, Cloud and AI-led engineering tied to a combination with Encora.

“Furthermore, the $1 Billion core of Data, Cloud and AI led engineering that will be created after Coforge and Encora come together, sets us up for sustained outperformance in the years to come,” said Sudhir Singh, Chief Executive Officer and Executive Director, Coforge Ltd.

The company’s stated sector focus for larger transformation deals includes BFSI, travel, insurance, and the public sector, with expansion into healthcare and retail/CPG also highlighted as a diversification push.

Acquisitions: Cigniti and selective M&A

Coforge recently signed a definitive agreement to acquire a 54% stake in Cigniti Technologies, described as a move to strengthen AI and IP-led capabilities. Management said the acquisition would support Coforge’s ambition of becoming a $1,000 million company by FY27, and could create three new scale-up verticals: retail, technology, and healthcare. Alongside this, the company has talked about selective tuck-in M&A as part of its medium-term approach.

Delivery footprint, hiring, and capacity build-up

Coforge has described a globally balanced delivery presence across the Americas, UK and Europe, India, Asia Pacific, ANZ, and the Middle East. Operational initiatives include capacity and talent scale-up, especially in India and nearshore centers, to support complex domain-led engagements and managed services conversions. One stated investment is expansion of India capacity with a Greater Noida campus designed for 10,000+ seats, alongside targeted hiring of domain consultants, actuaries and solution architects. The company also noted that India is not a priority market for its IT services business because it is margin-dilutive, with 4% to 5% of revenue coming from operations in India.

Key figures at a glance

Why the plan matters for investors and the sector

Coforge’s FY30 plan puts emphasis on two measurable levers: scaling large accounts and expanding margin through larger deals. The record $1,750m executable order book and the five large deals signed in the quarter are central to the company’s argument on near-term visibility. The company is also explicitly tying its growth trajectory to enterprise AI budgets, at a time when clients are looking for productivity and automation gains. Still, management’s messaging suggests that execution consistency, rather than a new market entry, is the key variable behind its revenue and margin aspirations.

Conclusion

Coforge is targeting $1,000m revenue by FY30 from an expected ~$1,470m base in FY26, leaning on AI-led engineering, larger deals, and deeper penetration in core verticals. The company has also guided for improved profitability, with FY27 EBITDA margin guidance of 20.5% to 21% versus 18.6% in FY26. Near-term attention is likely to remain on how the $1,750m executable order book converts into revenue, and how margin expansion tracks against the company’s stated guidance in FY27 and beyond.