Sonata Software Ltd shares surged on Friday’s trade, gaining as much as 9.8% in early trade to touch the day’s high of Rs 297.60 apiece on the BSE. At last check at 10:53 am, the counter was trading 8.74% higher at Rs 294.75 apiece.

The sharp rally comes on the heels of the company's March quarter earnings report, which was released post-market hours on Thursday. 

Q4 performance

According to the stock exchange filings, the firm reported a consolidated net profit of Rs 130.5 crore for the quarter ended March 31, 2026, a jump from the Rs 107.5 crore recorded in the same period last year. 

Meanwhile, consolidated revenue for the fourth quarter stood at Rs 2,536.2 crore from. For the full financial year, the company's revenue clocked in at Rs 10,701.2 crore.

Deal wins and AI momentum

Digging deeper into the investor presentation, the company bagged two large deals during the fourth quarter. This includes a platform and data modernisation deal with a global fintech and payments giant, alongside a modern engineering contract with a US-backed private equity firm.  

The presentation slides revealed an AI order win of $137 million. Moreover, its overall AI-led pipeline now stands at a massive $335 million.  

Dividend announcement

The Sonata Software board recommended a final dividend of Rs 4.15 per share on par value Re 1 each for the financial year ended 31st March, 2026. The company noted that this payout is payable subject to shareholder approval at the ensuing Annual General Meeting (AGM).