Tracxn continues to report flat revenue in Q3 FY25; slips into losses

Data and research platform Tracxn announced its financial results for the third quarter of FY26 on Thursday. The Bengaluru-based company reported flat revenue in Q3 FY26 with a loss of Rs 81 lakh.

Tracxn's revenue from operations decreased marginally by 2% to Rs 21 crore in Q3 FY26, compared to Rs 21.4 crore in Q3 FY25, its financial statements sourced from the National Stock Exchange (NSE) show.

Tracxn derived its entire operating revenue from subscription sales that provide access to its data and software. However, the firm did not disclose a detailed revenue breakdown for the quarter.

The company also earned Rs 1.57 crore from non-operating sources. This took Tracxn’s total revenue to Rs 22.6 crore in the third quarter of FY26.

Founded by Abhishek Goyal and Neha Singh, Tracxn specializes in tracking startups and private companies across diverse sectors. Backed by prominent investors like Accel Partners, Peak XV Partners, and Elevation Capital, Tracxn serves subscribers in over 40 countries.

On the cost side, employee benefits remained the largest cost center for the company, which accounted for 88% of its total expenditure. This expense increased by 5.3% year-on-year 20 crore in Q3 FY26. Overall, Tracxn's total costs grew by approximately 8.6% to Rs 22.8 crore in Q3 FY26.

The company booked Rs 94 lakh in exceptional items due to the statutory impact of new labour codes. This led to a loss of Rs 81 lakh in the quarter compared to a profit of Rs 1.42 crore in Q3 FY25.

For the first nine months of FY26, Tracxn’s operating revenue stood at Rs 63.3 crore. Its losses surged over 2.6X year-on-year to Rs 5.25 crore, mainly due to a deferred tax expense of Rs 5.6 crore. Excluding this, the company remained profitable at the operational level.

At the end of today’s trading session, Tracxn’s share price closed at Rs 34.55. This valued the company at a market capitalization of Rs 368.6 crore ($41 million). Notably, the company’s share price declined 34% from Rs 52.6 crore in last quarter and market Capitalization of Rs 559 crore ($63 million).

Tracxn’s Q3 FY26 performance shows pressure on both growth and profitability. Operating revenue remained flat while costs, led by employee expenses, continued to rise, resulting in a loss. Exceptional items added to the impact during the quarter. With subscription revenue unchanged over the nine-month period, the company needs to improve cost efficiency and revive growth to stabilise performance.