TAC Infosec Reports 137% Profit Surge Amidst Rising AI-Led Cybersecurity Demand

TAC Infosec, an Indian cybersecurity firm listed on NSE Emerge, has reported a substantial 137% year-over-year increase in profit after tax (PAT) for the first quarter of fiscal year 2026-27 (Q1 FY27), reaching ₹8.1 Cr. This growth comes alongside a 102% surge in operating revenue, which hit ₹19.8 Cr compared to ₹9.8 Cr in Q1 FY26. The company attributes this strong financial performance largely to the rising demand for AI-led cybersecurity solutions and increased enterprise adoption.

The company’s expenses also grew by nearly 88% year-over-year to ₹11.1 Cr in Q1 FY27. Despite this, EBITDA improved by 97.1% year-over-year to ₹9.8 Cr, with EBITDA margins seeing a slight improvement to 48.8%.

Key Financial Highlights

The significant growth in profitability is linked to record revenues, operational efficiency, and an expanding market for cybersecurity, particularly those solutions enhanced by artificial intelligence. TAC Infosec emphasized that the ongoing “AI boom” has translated into stronger demand for its services, deeper platform adoption, and record performance during the quarter. The company’s AI-powered ESOF platform played a role in achieving higher revenue per customer.

Metric	Q1 FY27 (₹ Cr)	Q1 FY26 (₹ Cr)	YoY Growth (%)
Profit After Tax	1	4	137%
Operating Revenue	8	8	102%
Expenses	1	9	88%
EBITDA	8	0	1%

Web3 Subsidiary Performance

While the core cybersecurity business thrived, TAC Infosec’s Web3 cybersecurity subsidiary, CyberScope, experienced a comparatively weaker performance. This was due to volatility in global cryptocurrency markets, which led to reduced activity in Web3 projects, token launches, and smart-contract audit engagements. Despite this, TAC Infosec views Web3 security as a strategic long-term opportunity, planning to expand CyberScope’s focus into institutional blockchain security, smart-contract assurance, and enterprise digital-asset risk management.

Strategic Focus and Future Plans

TAC Infosec founder and CEO Trishneet Arora noted that the AI boom strengthened the business, helping to deliver a record quarter even with the lower contribution from CyberScope. This highlights the resilience and strength of the company’s core offerings. The company is now voluntarily submitting quarterly financial numbers, a change from its previous half-yearly disclosures, coinciding with CyberScope’s preparations for a US listing, which confidentially filed a Form F-1 registration statement with the SEC in December 2025.

Looking ahead, TAC Infosec plans to continue investing in AI-led research and development, automation, global distribution, and the expansion of its ESOF product ecosystem. The company will also focus on increasing enterprise adoption, growing recurring revenue streams, enhancing revenue per customer, and integrating its cybersecurity, compliance, and Web3 security capabilities into a unified platform.

Impact for Indian AI and Tech Sector

This report underscores the growing importance of AI in the Indian cybersecurity landscape. For Indian businesses and startups, TAC Infosec’s financial results demonstrate that integrating AI into security solutions can be a significant driver of growth and profitability. As enterprises increasingly adopt sophisticated cybersecurity measures, the demand for AI-powered platforms like ESOF is expected to continue rising, reflecting a broader trend in the Indian tech market towards advanced, intelligent security systems.

Source: Inc42, https://inc42.com/buzz/tac-infosec-q1-profit-zooms-137-yoy-to-%e2%82%b98-cr-revenue-up-102/