Cigniti Technologies Ltd Management Discussions

Overview

Cigniti Technologies Limited (now part of Coforge Limited) is a global leader in Digital Assurance and Digital Engineering. As the worlds leading AI & IP- led services company, we help enterprises across industries accelerate their digital transformation journeys and become truly digital-first.

We bring deep expertise across a wide range of verticals and domains, delivering automation, acceleration, and engineering excellence. Our quality-led mindset positions us uniquely in the market, enabling us to offer a differentiated and value-driven digital services stack to our clients, one that helps them thrive in a highly competitive digital landscape.

FY2025 was a landmark year in Cigniti Technologies growth journey, underscored by the strategic acquisition by Coforge Limited, a global digital transformation services provider. This marks a pivotal turning point in our evolution as we enter a new phase of accelerated growth, capability expansion, and deeper client engagement. The acquisition validates our leadership in AI assurance, product engineering, and platform validation, helping us scale faster and serve clients with more speed and value, working together with a shared vision of delivering value through innovation, agility, and IP-led solutions.

The acquisition is a strategic convergence of complementary strengths: Cignitis IP-led platforms and AI-first assurance capabilities and Coforges deep enterprise relationships, strong vertical focus, and scaled delivery model. As we move toward full integration, we expect to unlock new synergies in areas such as AI assurance, product engineering, and platform validation. This will accelerate our ability to serve clients with greater speed, innovation, and value while advancing our ambition to become a top-tier digital transformation partner globally.

Cigniti has now been fully consolidated into Coforge in Q2 FY25. Our synergies have played out well, as is evident in the robust growth of YY% YoY CC growth in Cigniti revenue.

Our Flagship AI-Led IP Offerings

We strategically prioritize and strengthen our investments in AI-led platforms and proprietary IP to drive intelligent automation and measurable results. Our proprietary IPs and platforms are designed to navigate the digital journey with scale, speed, and intelligence:

• BlueSwan™ - A next-gen quality engineering platform to fast-track testing transformation

• iNSta™ - A no-code/low-code, Al-based, self- healing test automation platform that dramatically reduces time-to-market and boosts release velocity

• Zastra™ - An Al-powered, active-learning annotation platform that enables computer vision use cases

Analysts widely recognize these state-of-the-art Al- led platforms that help clients drive velocity, quality, and innovation simultaneously.

We operated through a verticalized go-to-market model, offering contextual, high-impact services across geographies, including the USA, UK, UAE, Australia, South Africa, the Czech Republic, Singapore, and others, with headquarters in Hyderabad, India.

Quick Facts

• 4,200+ professionals experienced in a broad spectrum of services that include AI Validation and Testing, Test Automation, Security Assurance, RPA, DevOps QA, Functional & Performance Testing, Cloud Migration Assurance, and Business Assurance.

• 60+ Fortune 500 companies and 80+ Global 2000 enterprises served

• 92% client satisfaction (rated 4/4)

• $500Mn+ cost savings delivered

• Multi-million-dollar deals secured across BFSI, Retail, HCLS, and TT&H

• Industry-leading revenue growth of 32.7% in FY23

Global Economic Outlook: Divergent and Uncertain

IMF projects that the world economic outlook is projected at 3.3 percent both in 2025 and 2026, broadly unchanged from the October 2024 World Economic Outlook (WEO) forecast, with an upward revision in the United States offsetting downward revisions elsewhere. Divergent paths characterize the near-term outlook, while medium-term risks to growth are tilted to the downside. Renewed inflationary pressures could interrupt the monetary policy pivot, with implications for fiscal sustainability and financial stability. The policy mix should balance trade-offs and rebuild buffers. Global headline inflation is expected to decline to 4.2 percent in 2025 and to 3.5 percent in 2026, converging back to the target earlier in advanced economies than in emerging markets and developing economies.

The IMFs projections indicate that global growth will remain steady at 3.3 percent this year and next, broadly aligned with potential growth that has substantially weakened since before the pandemic. Inflation is declining, to 4.2 percent this year and 3.5 percent next year, in a return to central bank targets that will allow further normalization of monetary policy. This will help draw to a close the global disruptions of recent years, including the pandemic and Russias invasion of Ukraine, which precipitated the largest inflation surge in four decades.

The Indian Economy Outlook

The International Monetary Fund (IMF) projects Indias real GDP growth at 6.5% for both FY2024-25 and FY2025-26, attributing this to robust private consumption supported by sustained macroeconomic and financial stability. This positions India as the fastest-growing major economy during this period.

However, the IMF also highlights potential downside risks to this outlook, including deepening geoeconomic fragmentation affecting external demand, regional conflicts leading to oil price volatility, and domestic factors such as weaker-than-expected recoveries in private consumption and investment. Addressing these challenges through structural reforms and policy measures will be crucial for India to sustain its growth trajectory.

In addition, the IMF commended Indias prudent fiscal management, targeted infrastructure investments, and continued progress in digital public infrastructure as key enablers of its growth resilience. The governments focus on capital expenditure, supply chain formalization, and financial inclusion has contributed to improving economic efficiency and boosting domestic demand. While global headwinds persist, Indias strong fundamentals, demographic advantage, and digital-led transformation are expected to keep the economy on a steady growth path in the medium term.

Global IT Industry Outlook

The global IT industry enters 2025 with strong momentum, driven by a decisive shift from digital transformation to AI-first business reinvention. According to Gartner, worldwide IT spending is forecasted to grow by 9.8%, reaching $5.6 trillion-a clear signal of enterprise confidence in technology as a catalyst for future growth. This marks one of the most significant year-on-year growth rates in recent memory and highlights the industrys evolution into a strategic enabler of business agility, resilience, and innovation.

Worldwide IT Spending Forecast (Millions of U.S. Dollars)

Category	2024 Spending	2024 Growth (%)	2025 Spending	2025 Growth (%)
Data Center Systems	329,132	39.4	405,505	23.2
Devices	734,162	6.0	810,234	10.4
Software	1,091,569	12.0	1,246,842	14.2
IT Services	1,588,121	5.6	1,731,467	9.0
Communications Services	1,371,787	2.3	1,423,746	3.8
Overall IT	5,114,771	7.7	5,617,795	9.8

Source: Gartner (January 2025)

As per IDCs 2025 predictions, this year will be a critical turning point for technology organizations, with digital- first mandates becoming the default business strategy. Enterprises are not just investing in IT-they are re- architecting their digital foundations. A renewed focus on platform modernization, cloud-first operating models,

and Al-embedded enterprise workflows is shaping how businesses compete, scale, and grow. This evolution is no longer optional; and its structural and irreversible.

The dominant narrative for 2025 is the mainstreaming of AI. From generative AI to intelligent automation, enterprises are accelerating deployments from pilot to production. However, both Gartner and IDC agree that expectations are maturing, and the market is moving beyond hype cycles toward outcome- driven implementation. Organizations are prioritizing value realization, governance, and scalability over experimental adoption. AI is no longer viewed in isolation but as a core layer across infrastructure, applications, and business models.

Spending patterns are also evolving. While software and services remain central to transformation agendas, infrastructure investments are gaining renewed focus, especially in enabling AI workloads and cloud-native agility. Businesses are re-evaluating legacy systems and building future-ready technology environments that can support exponential data growth, real-time intelligence, and decentralized operations. This shift is reflected in the increasing prioritization of cloud modernization, data engineering, and platform resilience.

From a global market standpoint, 2025 will also see technology leaders embracing adaptive, ecosystem-driven strategies. IDC highlights that industry boundaries are blurring as tech providers, service firms, and enterprises co-innovate to solve shared challenges, from supply chain transformation to sustainability, compliance, and experience orchestration. The rise of industry cloud platforms, domain-specific AI solutions, and open innovation ecosystems will define competitive advantage.

Overall, the global IT industry is poised for sustained expansion in 2025, but with heightened expectations for measurable business impact. The narrative has shifted from digital transformation to AI-led value creation. In this environment, the winners will be those who can align technology investments with strategic business priorities, embed intelligence across workflows, and deliver faster, scalable, and outcome- focused innovation.

Indian IT Industry Outlook

According to NASSCOM, the Indian IT industry continues to be one of the strongest pillars of the countrys economic engine, demonstrating remarkable resilience and adaptability amidst global volatility. The industry is expected to reach $283 billion in revenue, registering a 5.1% YoY growth, with exports contributing $224 billion and domestic revenues crossing $58.2 billion. This positions India not only as a significant global sourcing hub, contributing 57-58% of global sourcing, but also as a fast-growing innovation economy, with over 1,750 Global Capability Centers (GCCs) operating within its borders.

The sectors evolution is evident in the strong growth of engineering R&D (er&d), which has recorded the fastest growth among export segments for the fourth consecutive year. Indian IT firms are increasingly shifting focus from traditional outsourcing to value- added services such as cloud-native engineering, AI/ ML deployments, cybersecurity, and digital product development. This reflects a broader pivot from cost efficiency to digital innovation and enterprise transformation, aligned with global demand trends.

Domestically, the Indian tech market is seeing accelerated growth, outpacing exports for the second year in a row. The demand is being driven by robust investments across sectors such as BFSI, retail, telecom, and manufacturing, alongside large-scale government initiatives focused on digital infrastructure. India is also gaining traction as a preferred hub for enterprise AI and GenAI adoption, moving from isolated pilot use cases to production-grade implementations that deliver measurable ROI.

As per Bain & Company, the IT industry is expected to play a critical role in enabling Indias ambition of becoming a $23-$35 trillion economy by 2047. Technology and digital services are projected to contribute over 60% of GDP, with sustained 8-10% annual growth driven by AI-led productivity, platform modernization, and tech-enabled job creation. This vision also strongly emphasizes sectors such as green tech, space tech, biotech, and digital public infrastructure as new frontiers for innovation.

Talent remains a key enabler of this transformation. As of FY25, Indias tech workforce has grown to 5.8 million, with 36% female participation-a step forward in diversity and inclusion.

Evolving Quality Engineering in the AI Era: The Cigniti Perspective

Our strong foundation in Digital Assurance, TestOps, and Quality Engineering, coupled with AI, ML, and Data- driven capabilities, led us to adopt a unique Quality- First approach. In this rapidly evolving landscape, Quality Engineering (qe) has evolved beyond traditional testing, becoming a strategic enabler of resilient, adaptive, and intelligent digital systems.

Our differentiated approach combined our assurance heritage with AI-led engineering, enabling intelligent, resilient systems for enterprises globally. This transformation allowed Cigniti to deliver AI-led product engineering, platform modernization, cloud-native transformation, and hyper-automation-positioning it as a preferred partner across BFSI, Healthcare, Retail, and HiTech.

State-of-the-art platforms like BlueSwan™, Zastra™, and iNSta™ played a key role in this evolution. These proprietary platforms were built to automate, accelerate, and assure digital transformation initiatives, now enhanced with GenAI for adaptive testing, intelligent observability, and risk-based validation.

Cignitis strategic priorities remained:

• Driving digital transformation with a quality-first mindset

• Enabling sustainable innovation through full-cycle engineering

• Building future-ready systems using AI, cloud, and automation

Cigniti, now Coforge, is uniquely positioned to lead in this next phase of transformation, where Quality Engineering meets Intelligent Engineering, and assurance is not a checkpoint but a competitive advantage.

Technology Trends on Rise, 2025 GenAI (Generative Al)

Generative AI has moved from exploratory pilots to enterprise-wide rollouts, driving disruption across content generation, document processing, customer interaction, and code generation. IDC forecasts that 75% of G1000 organizations will adopt value-based GenAI economics models by 2026, and Gartner emphasizes GenAIs growing role in increasing enterprise productivity and decision speed. Yet, success is contingent on governance, explainability, and quality assurance. GenAI systems risk hallucination, biased outcomes, and brittle performance if not rigorously tested and monitored. As more enterprises integrate GenAI into their IT and business workflows, the need to test prompts, models, guardrails, and context awareness becomes paramount.

Cignitis proprietary iNSta™ platform supported GenAI use case validation, while Zastra™ enabled precise annotation and training data refinement for CV and NLP applications. Through risk-based testing and GenAI observability frameworks, we ensured enterprises could scale GenAI safely and ethically.

As GenAI becomes embedded in software product development, customer experience, and automation, Cigniti, now Coforge, acts as the assurance backbone for its responsible and reliable deployment.

AI Validation

As AI systems become more complex and widely used, its essential to ensure they function as intended and dont introduce unintended consequences. AI validation helps to identify and mitigate potential risks, including bias, errors, and security vulnerabilities.

Some popular trends in AI Validation are AI-powered validation tools, emphasis on ethical AI, collaboration between humans and AI, and regulatory frameworks.

While AI Validation is gaining ground in multiple areas and industries, such as Software Testing, Healthcare, Cybersecurity, and more, a few key areas of AI Validation include Bias Detection, Accuracy and Reliability, Security and Privacy, Transparency and Explainability, etc.

Thus, AI validation is not just a trend but a necessity for the responsible development and deployment of AI systems in 2025 and beyond. Its a critical aspect of ensuring that AI technology delivers on its promises while mitigating potential risks and ensuring fairness, accuracy, and transparency.

To successfully engineer AI systems, organizations need to adopt an iterative and incremental development approach, continuously involve domain experts, prioritize transparency and explainability, implement robust AI-validation frameworks, define clear protocols for monitoring and maintenance, and integrate ethical considerations throughout the development process to ensure responsible use.

Cigniti provides specialized AI/ML Assurance and Validation services to ensure seamless deployments of AI, ML, and GenAI models in production settings. We consistently enhance our BlueSwan™ IP suite. We recently added Model/ML Assurance Platform (map) to the suite, which streamlines and fortifies the machine learning model validation process. This ensures swift and reliable assessments for all AI-driven solutions and ultimately reduces time to market. Cigniti, with focused investments in the BlueSwan™ platform, has also enhanced its two components: iNSta™ and InCight.

Data & Analytics

With data emerging as the new digital capital, enterprises are investing heavily in data platforms, analytics pipelines, and AI-powered decision engines. However, poor data quality remains a top cause of AI and analytics failure, with IDC predicting that 50% of large enterprises will adopt data-as-a-product architectures by 2026 to ensure trust, usability, and agility. Data pipelines today span diverse systems, sources, and real-time ingestion models, increasing the complexity of validation. The future of analytics demands continuous data quality validation, lineage assurance, and schema drift detection across every stage of the pipeline-from ingestion to consumption.

Our precision in AI/ML pipeline validation ensures that model-ready data flows are trusted, explainable, and scalable. As data governance, monetization, and productization become board-level priorities, Cigniti, now Coforge, enables enterprises to embed quality- first principles into their data and decision architecture.

Cloud

Enterprises are no longer just migrating to the cloud-theyre engineering for cloud-native agility, composability, and elasticity. As per Gartner, cloud spending will exceed $1.7 trillion in 2025, with a shift toward multi-cloud, hybrid, and edge deployments. However, managing application quality in containerized, distributed environments brings new challenges. Performance issues, latency inconsistencies, integration fragility, and resilience gaps often go undetected without a purpose-built CloudOps QE layer. Cloud-native DevOps requires shift-left testing, CI/CD pipeline integration, chaos engineering, and observability-driven QA to deliver accurate scale and stability.

Cignitis Cloud Assurance services have helped enterprises confidently move workloads to public, private, and hybrid cloud environments while maintaining performance, security, and compliance. Our offerings included cloud migration assurance, infrastructure as code (IaC) validation, and chaos engineering, ensuring enterprises achieve cloud agility-without compromising on quality or governance.

Low-Code / No-Code (LCNC) Platforms

LCNC platforms are revolutionizing software delivery by empowering non-technical users to build apps, workflows, and automation with minimal coding. By 2026, IDC expects 65% of enterprise application development to be driven by LCNC tools. While this enables democratized innovation and agility, it also creates risks in quality, security, integration, and governance. Business-critical apps developed outside traditional IT pipelines are often untested, leading to inconsistencies and operational vulnerabilities. Ensuring the functional integrity, security compliance, and cross-platform compatibility of LCNC apps is now a core enterprise requirement.

Cigniti integrated assurance into LCNC development with platform-specific testing for tools like PowerApps, Mendix, and OutSystems. Our low-code automation engine, iNSta™, aligned perfectly to test LCNC environments at scale.

Test Automation

Test Automation continues to be a foundational pillar of Agile and DevOps, but in 2025, the focus is shifting toward self-healing, intelligent, and autonomous testing systems. Tools powered by AI and ML now enable dynamic script generation, adaptive regression suites, and intelligent defect prediction. According to Forrester, organizations with advanced test automation maturity reduce release cycles by 30-40% and improve software reliability significantly. Autonomous QE is no longer an aspirational concept-its becoming essential for complex, distributed, multi- channel environments.

Cignitis next-gen automation platform, iNSta™, enables scriptless, self-healing automation powered by AI. Our TestOps frameworks integrate seamlessly with CI/CD pipelines for continuous, intelligent assurance across channels and devices.

Intelligent Automation

Enterprises are moving beyond basic RPA toward intelligent automation that combines AI, ML, OCR, NLP, and low-code orchestration. This shift supports use cases in claims processing, order management, service ops, and compliance. Forrester highlights that 60% of automation deployments will involve AI-enhanced workflows by 2025, which will require rigorous validation across rules engines, exception logic, and data flow. Ensuring end-to-end process quality and exception handling is now as critical as task-level accuracy.

Cigniti, now Coforge, delivers assurance for complex automation ecosystems, validating cognitive workflows, intelligent bots, and orchestration engines across verticals-enabling stable, scalable automation outcomes.

Product Engineering & Platform Modernization

Modern product engineering requires agility, modularity, and experience-centric development. Enterprises are shifting to composable architecture, API-first design, and cloud-native builds. Gartner projects that by 2026, 80% of software engineering will involve platform thinking. Product teams now demand full lifecycle support - from ideation and experience testing to continuous validation of functionality, performance, and security. Engineering speed must go hand-in-hand with quality, especially as digital products scale rapidly across geographies and channels.

Cigniti provided quality-first product engineering assurance, spanning UI/UX validation, microservices QA, cloud-native testing, and release governance to enable faster time-to-market with zero compromise on quality.

Agentic AI

Agentic AI-the evolution of AI systems from reactive models to autonomous agents that plan, act, and adapt-is one of the most transformative shifts in enterprise tech. Zinnov predicts that over 35% of large enterprises will embed autonomous AI agents into workflows by 2027. These agents will orchestrate operations across finance, logistics, IT service management, and customer support. However, their autonomy introduces complex challenges around reliability, fairness, and system safety, making quality engineering not just necessary but foundational.

Cigniti, now Coforge, focuses on AI assurance, autonomous behavior validation, and continuous testing to help ensure Agentic AI systems perform ethically, predictably, and reliably across diverse enterprise scenarios.

Navigating the Vertical Landscape

According to Gartners latest report on IT Spending by Vertical, the 2025 enterprise IT spending outlook reveals a clear bifurcation across industries. Communications, Media, and Services (CMS) stands out as the most aggressive spender, leading both in short-term growth and long-term CAGR-reflecting heavy investments in cloud platforms, AI infrastructure, and service delivery modernization. Power & Utilities and Healthcare follow closely, showing strong, sustained momentum driven by smart grid modernization and the digitization of care delivery.

Verticals like Banking, Insurance, and Education reflect steady-state growth, prioritizing cloud migration, risk management, and digital access. Meanwhile, Retail, Transportation, Oil & Gas, and Wholesale are positioned in the below-average growth quadrant, indicating continued budget caution and operational cost constraints. These industries appear to be focusing on incremental digital improvements rather than expansive transformation in the near term. The clustering around the mid-range suggests that while digital transformation remains a priority, sectors are maturing at different speeds based on economic, regulatory, and technology readiness drivers.

Industries on the Rise - 2025

Healthcare & Life Sciences (HCLS)

The healthcare and life sciences industry continues to show strong momentum due to an ongoing shift toward digitized care, regulatory modernization, and operational automation. Healthcare providers and life sciences organizations are prioritizing electronic health record systems, AI-based clinical support, and interoperable patient data ecosystems.

There is also a surge in technology adoption for areas such as revenue cycle automation, virtual care delivery, and digital therapeutics. In life sciences, increased investment in R&D digitization, cloud-native lab systems, and AI-driven drug discovery platforms are pushing the need for scalable, secure IT infrastructure. This sector is expected to remain a sustained growth contributor for technology service providers and consulting firms.

Power & Utilities

This industry is undergoing significant digital transformation as utilities aim to modernize outdated systems and meet sustainability goals. Organizations are focusing on building digital twins of physical infrastructure, optimizing smart-grid performance, and integrating renewable sources with legacy networks.

Customer experience platforms, meter data management, and real-time analytics are seeing widespread adoption. Energy providers are moving toward flexible, cloud-enabled platforms that can scale with evolving grid and regulatory requirements. The continued push toward decarbonization, energy transition, and resilience makes this vertical highly strategic for long-term tech investments.

Banking & Investment Services

Banks and investment firms are accelerating the replacement of legacy core systems with modern, cloud-based platforms to meet customer demand, increase compliance readiness, and enhance operational agility. Digital banking, embedded finance, real-time payment infrastructure, and advanced fraud analytics are becoming core technology priorities. Firms are also investing in composable architectures to improve integration, reduce time to market, and comply with open banking mandates. With digital channels now primary revenue drivers and AI-based decision systems gaining traction, this vertical is shifting decisively toward scalable platforms and value-centric modernization.

Insurance

Insurers are pivoting to cloud-first, AI-powered ecosystems to automate claims, enhance underwriting accuracy, and drive hyper-personalized product offerings. The shift from monolithic systems to platform-based architectures is reshaping how policies, pricing, and risk are managed. Additionally, demand is growing for data-led innovation in areas such as actuarial modeling, fraud detection, and policy servicing. Modernization efforts are mainly focused on enabling better customer experience and analytics-driven transformation, making this a stable growth industry in the mid to long term.

Government & Education

Public sector agencies and education systems are accelerating IT modernization to improve citizen services, ensure digital access, and strengthen institutional resilience. Key drivers include the expansion of national digital ID programs, integrated welfare delivery, and education platforms tailored for hybrid learning models.

Government IT strategies are increasingly focused on open, scalable platforms and cybersecurity frameworks. With cloud adoption becoming mainstream across federal and local governments, this sector is expected to be a long-term technology spender committed to digital public infrastructure.

Communications, Media & Services (CMS)

The CMS sector is witnessing broad-based transformation across telcos, digital media providers, and IT service firms. Communications providers are shifting toward open networks, virtualized infrastructure, and AI-enhanced customer engagement systems. Media organizations are re-platforming for streaming scale, real-time analytics, and immersive content delivery.

At the same time, global IT services firms are investing in digital delivery models, internal automation, and platform modernization to remain competitive. As these organizations align to new business models and technology innovation becomes a growth enabler, this vertical is expected to sustain elevated technology demand.

The Plight of Verticals: Navigating the Downturn Telecommunications

The telecom sector continues to experience margin pressure due to market saturation, declining ARPU (average revenue per user), and ongoing infrastructure cost burdens. The transition to 5G and network virtualization requires capital-heavy investments, while the returns remain delayed.

With customer preferences shifting towards OTT services and bundled digital experiences, telecom companies are struggling to monetize core services. As a result, IT investments are currently focused on basic infrastructure upkeep and selective transformation efforts rather than broad innovation. Overall, it remains one of the slowest-moving verticals in terms of digital maturity and transformation outlook.

Broadcasting, Cable & Media Services

This vertical faces headwinds from evolving media consumption patterns, ad revenue instability, and increased content distribution competition. The cost of producing original content is rising while streaming platforms push for consolidation and cost control.

Digital transformation investments are still occurring, focused primarily on personalization engines, ad tech modernization, and hybrid monetization models, but tight budgets have led to selective prioritization. There is apparent hesitancy in committing to new infrastructure or full-platform upgrades in the short term.

Retail & E-commerce

Although showing signs of cautious recovery, the retail sector continues to face volatility due to consumer spending shifts, inflation, and operational cost increases. While leading retailers are investing in omnichannel experiences and digital store operations, mid-market players remain conservative in IT budgets.

Supply chain vulnerabilities, talent shortages in tech roles, and ongoing macroeconomic pressures have further reduced the pace of transformation in several sub-segments. Most investments are currently directed toward demand forecasting, POS modernization, and loyalty program enhancements-indicating a survival mindset rather than long-term innovation.

Steady State: A Look at the Balanced Verticals

BFSI - Banking, Financial Services & Insurance

The BFSI sector remains in a steady transformation mode, balancing regulatory compliance, cybersecurity upgrades, and the modernization of aging legacy platforms. Banks are continuing to invest in composable platforms, embedded finance, and AI- led risk analytics.

However, growth is not aggressive, as firms are also managing cost pressures and carefully prioritizing spending. In insurance, technology adoption is steady, focusing on digital underwriting, fraud detection, and product personalization. Across the sector, tech spending is expected to remain stable and resilient, with long-term digital maturity goals in focus.

Manufacturing

Manufacturing companies are cautiously advancing digital programs focused on efficiency, automation, and supply chain visibility. While the pace of transformation is slower than in some high-growth industries, there is continued demand for smart factory initiatives, cloud-based ERP modernization, and IoT integration for predictive maintenance.

Challenges such as cost inflation and workforce skill gaps are influencing the speed of technology adoption. That said, verticals such as discrete and high-tech manufacturing are steadily evolving their digital capabilities, focusing on ROI and resilience.

Transportation & Logistics

The transportation and logistics sector is maintaining moderate but consistent investment in digitization. Fleet optimization, warehouse automation, and platform consolidation remain top priorities. System resilience is also receiving increasing attention, especially given past disruptions in global logistics.

The sector is not aggressively expanding its IT footprint but continues to invest in scalable, cloud- based platforms and supply chain intelligence tools. The focus remains on stability and long-term gains through operational agility.

Advantage: Coforge

By acquiring Cigniti Technologies, Coforge is well- positioned to take advantage of the evolving IT spending landscape. While discretionary and non- essential IT budgets continue to come under scrutiny in 2025, the composition of enterprise spending is shifting decisively towards essential, value-led digital investments. This shift plays to our strengths, as organizations are doubling down on platforms and services that enable efficiency, security, and innovation.

Today, enterprise buyers are actively prioritizing digital programs that deliver faster payback windows, enhance customer engagement, and support business continuity-outcomes that are central to Cignitis value proposition.

This trend is reinforced by recent findings, where CFOs are increasingly backing IT projects that deliver tangible ROI within 12-24 months, and a majority of enterprises have either sustained or increased their digital investments despite economic headwinds. The current IT market is no longer driven by size or scale alone-it is driven by strategic agility, speed-to-value, and platform-led execution, and we bring all three to the table.

Recent ISG data validates the broader market shift- global annual contract value (ACV) crossed $104.1 billion, growing over 11% YoY, driven by substantial expansion in cloud and XaaS-led models. However, mega-deals ($100M+) have dropped in volume, while mid-size deals ($5M-$20M ACV) are becoming the new norm. This plays to our advantage. Our right- sized delivery model, deep customer intimacy, and industry-aligned solutions make us an ideal partner for strategic deals requiring both speed and flexibility.

The market is being reshaped by new-age technologies such as AI, GenAI, RPA, IoT, blockchain, and advanced analytics-all areas where we are building targeted value propositions. Our clients today are leveraging our capabilities across cloud migration assurance, DevOps enablement, intelligent automation, and platform testing to drive business modernization. These conversations are increasingly being led at the CIO and CDO levels, expanding our stakeholder influence.

In line with the market shift, we have launched several IP-led solutions to differentiate and scale our impact. Our iNSta™ platform, a scriptless, AI-powered test automation suite, enables clients to reduce time- to-market, improve test coverage, and enhance ROI through low-code, self-healing capabilities. Similarly, Zastra™, our intelligent automation platform, is helping clients automate repetitive workflows and achieve operational efficiency at scale-especially in data- heavy and compliance-intensive environments.

Our focus areas for FY25 include product engineering, AI/ML platforms, data engineering & insights, intelligent automation (rpa), DevSecOps, blockchain integration, and business analytics. We continue to invest in innovation, reskilling, and building domain-specific offerings that solve real-world problems in sectors like healthcare, BFSI, utilities, and travel.

As per IDC, by 2026, enterprises that successfully build digital ecosystems will derive over 25% of their revenue from digital products, platforms, and experiences. We are fully aligned with this trajectory. Through our robust internal L&D programs, were reskilling talent on AI, cloud-native stacks, security engineering, and data platforms-ensuring that we stay ahead of client expectations.

In summary, we are optimally positioned to win in the current market landscape-by focusing on essential budgets, driving platform-led engagements, and becoming a high-impact partner for digital transformation. We are not just responding to industry change; we are helping shape the future of digital assurance and engineering for our global clients.

Human Resources

Human resources play a critical role in our organization, ensuring our employees are empowered to achieve our business objectives. Our policies, processes, and practices attract, engage, empower, and retain the most talented individuals in the industry. Over the past year, our HR department has been focused on continuous process improvement, automation, and implementing innovative employee engagement strategies.

We have also placed an increased emphasis on diversity, equity, and inclusion initiatives, recognizing the importance of creating a workplace culture that values and celebrates differences. We remain committed to investing in our employees professional development, providing training opportunities and career advancement programs to support their growth within the organization. Detailed insights into our HR activities can be found on pages 30-35 (update the page numbers) of this years report.

Our HR policies, processes, and practices continue to evolve to attract and retain the best and brightest talent. In addition to focusing on process reengineering, automation, and innovative employee engagement strategies, we have also made significant strides in promoting diversity, equity, and inclusion (DEI) across the organization.

We are proud to have recently added DEI policies to our HR framework, which celebrate and promote diversity in all forms. Our commitment to womens empowerment continues to be a core focus, with ongoing efforts to support and advance women in the workplace. For a detailed overview of our HR activities over the past year, please refer to pages 30-35. (Update the page numbers)

Outlook

FY2025 marks a defining chapter in Cigniti Technologies journey as we transition into an exciting new phase of growth, innovation, and strategic alignment following our acquisition by Coforge Limited, a global digital services and solutions provider. This transformational development reflects a shared vision between the two companies to build a global leader powered by scale, complementary capabilities, and market relevance.

Coforges acquisition of a majority stake in Cigniti, including the open offer completed in November 2024, sets the stage for the creation of a robust, integrated enterprise poised to drive multi-fold value across stakeholders. The integration process is being carried out in a structured, phased manner with a clear focus on operational continuity, customer alignment, and cultural cohesion. A dedicated integration office has been set up to ensure a seamless transition with minimal disruption to employees, clients, and partners.

This strategic acquisition enables both organizations to create a synergistic platform, combining Cignitis global leadership in AI and IP-led Quality Engineering and Digital Assurance with Coforges deep domain expertise in BFSI, Insurance, Travel, and Healthcare, along with its scaled transformation capabilities. Together, we are poised to serve global enterprises with a more comprehensive portfolio of offerings- from intelligent automation and software assurance to next-gen product engineering, data platforms, and enterprise modernization.

As Sudhir Singh, CEO of Coforge, aptly noted, the acquisition of Cigniti is a game changer that will meaningfully expand the combined entitys capabilities, client base, and market reach. He emphasized that this strategic move not only strengthens Coforges presence across high-growth verticals such as TTH, healthcare, retail, and high-tech but also significantly broadens its footprint in North America, particularly in the western and midwestern U.S., while enhancing offerings in Al-driven assurance services. This endorsement from Coforges leadership further reinforces the long-term value and transformational potential of the integration for clients, employees, and shareholders alike.

From a market perspective, the combined entity will benefit from an expanded client footprint, enhanced geographic presence, and strengthened domain- aligned GTM (go-to-market) capabilities. This allows for deeper cross-sell opportunities across key accounts, increased wallet share, and greater penetration in both existing and high-growth markets. We are already seeing strong interest from joint clients in expanded engagements across cloud assurance, cybersecurity validation, and Al-led transformation services.

lmportantly, both brands bring strong client trust and complementary strengths. While Coforge brings scale, infrastructure, and domain diversification, Cigniti contributes niche depth in platform-led assurance, test automation IPs (like iNSta™), and GenAI-powered service accelerators (like Zastra™). For FY2025-26, a carefully architected brand harmonization strategy will be executed to preserve the equity of both brands while reinforcing a unified value proposition globally.

From a people standpoint, the integration offers expanded opportunities for career mobility, capability development, and participation in larger transformation programs. Both firms are committed to nurturing talent and fostering an innovation-first culture. As part of this journey, we continue to invest in upskilling, GenAI training, and domain-aligned certification programs, ensuring our teams are prepared to lead complex client transformations.

Looking ahead, we see this integration as an enabler of sustained and profitable growth. The combined entity is well on track to deliver better enterprise value through expanded capabilities, global delivery excellence, and deep customer intimacy. The strategic direction is clear: to build one of the worlds most admired firms in Digital Assurance, Engineering, and Intelligent Platforms, with a sharp focus on outcomes, agility, and long-term partnerships.

As we enter FY2026, we are confident that our integrated platform, leadership depth, and collective ambition will empower us to unlock new growth avenues, deliver differentiated client experiences, and drive shareholder value in a fast-evolving digital economy.

Internal Controls

The Company has framed satisfactory internal controls and governance within the company as detailed elsewhere in this annual report.

Review of Financial Performance

Revenue

Revenue for the current year was at Rs. 100,685 lakhs as against Rs. 78,873 lakhs in the previous year, increased by 28%.

EBITDA

The EBITDA for the year stood at Rs. 19,639 lakhs as against Rs. 12,470 lakhs in the previous year, increased by 57%.

Earnings Per Share

The EPS (Basic) of the Company stood at Rs. 44.44 for the current year as against Rs. 34.74 in the previous year, increased by 28%.

Profit After Tax

The Company has reported Profit After Tax (PAT) of Rs.12,226 lakhs for the current year as against Rs. 9,479 lakhs in the previous year, increased by 29%.

Ratio analysis and its elements

Ratio	Numerator	Denominator	March 31, 2025	March 31, 2024	% change	Reason for variance
Current ratio	Current assets	Current liabilities	4.83	3.83	26%	Note (a)
Debt- Equity Ratio	Total debt*	Shareholders equity	0.04	0.10	-63%	Note (b)
Debt service coverage ratio	Earnings for debt service = Net profit after taxes + Non-cash operating expenses + Finance cost	Debt service = Interest & Lease Payments + Principal repayments	10.48	9.59	9%
Return on equity ratio	Net profits after taxes	Average shareholders equity	21%	20%	5%
Trade receivable turnover ratio	Net credit sales = Gross credit sales - sales return	Average trade receivable	5.76	6.52	-12%
Trade payable turnover ratio	Other expenses + Employee benefit expense + Hired contractors cost	Average trade payables including employee benefits payable	18.25	23.74	-23%
Net capital turnover ratio	Net sales = Total sales - sales return	Working capital = Current assets - Current liabilities	1.96	2.04	-4%
Net profit ratio	Net profit after taxes	Net sales = Total sales - sales return	12%	12%	1%
Return on capital employed	Earnings before interest and taxes	Capital Employed = Tangible Net Worth + Total debt	24%	23%	7%
Return on investment#	Finance income	Time weighted average investment	9%	9%	11%

*Debt includes lease liabilities.

# Mutual funds, ETFs, bonds and debentures are considered for the purpose of computing return on investments.

Explanations given where the change in the ratio is more than 25% as compared to the preceding year. Notes:

a) Change in ratio is majorly due to increase in trade receivables and unbilled receivables during the year.

b) Change in ratio is due to decrease in borrowings.