QUICKHEAL - Quick Heal Tech
📢 Recent Corporate Announcements
Quick Heal Technologies Limited has allotted 18,015 equity shares to eligible employees following the exercise of options under its ESOP Scheme 2021. The shares were issued at various exercise prices ranging from ₹10 to ₹142.16 per share. This allotment has resulted in the total issued share capital of the company increasing to 5,42,33,090 equity shares. Such allotments are standard corporate procedures to fulfill employee incentive obligations and result in marginal equity dilution.
- Allotment of 18,015 equity shares of face value ₹10 each under ESOP Scheme 2021
- Exercise prices for the allotment ranged from a base of ₹10 up to ₹142.16 per share
- Total post-issue share capital stands at ₹54,23,30,900 divided into 5,42,33,090 shares
- The new shares rank pari-passu with existing equity shares of the company
Quick Heal Technologies Limited has formally applied to BSE and NSE for the reclassification of Gagan Bharari Enterprises LLP from the 'Promoter and Promoter Group' to the 'Public' category. This application, dated February 3, 2026, follows Regulation 31A of SEBI LODR Regulations. Significantly, the outgoing entity currently holds zero equity shares and a 0% stake in the company. This move is largely administrative, aimed at streamlining the promoter group structure without affecting the company's control or operations.
- Application submitted to BSE and NSE on February 3, 2026, for promoter reclassification.
- Outgoing entity Gagan Bharari Enterprises LLP holds NIL equity shares in the company.
- Current shareholding of the outgoing promoter stands at 0.00%.
- The reclassification is being processed under Regulation 31A of SEBI (LODR) Regulations, 2015.
Quick Heal Technologies Limited has allotted 153 equity shares of face value ₹10 each to employees under its ESOP Scheme 2021. The shares were issued at an exercise price of ₹119 per share, which includes a premium of ₹109 per share. Following this allotment, the total issued share capital of the company has increased to ₹54.21 crore. This is a routine administrative action with a negligible impact on the company's total equity base and earnings per share.
- Allotment of 153 equity shares pursuant to the ESOP Scheme 2021.
- Exercise price fixed at ₹119 per share, including a ₹109 premium.
- Total issued share capital increased to 5,42,15,075 equity shares.
- Post-allotment paid-up share capital stands at ₹54,21,50,750.
- The new shares are identical in all respects to existing equity shares.
Quick Heal Technologies has announced a significant expansion of its senior leadership team with four key appointments and promotions effective January 29, 2026. The company has hired industry veterans including Ms. Savita Nehra (20+ years exp) as VP People and Culture and Mr. Amartya Mukherjee (25+ years exp) as VP and Head of Delivery. Additionally, Ms. Netra Deshpande (25+ years exp) has been promoted to Head of Engineering, and Mr. Nitin Bhogan (15+ years exp) joins as Director of Cyber Awareness. These appointments bring a combined experience of over 85 years from top-tier firms like Accenture, IBM, and Symantec to the company.
- Ms. Savita Nehra joins as VP People and Culture with over 20 years of HR experience from Wipro and Capgemini.
- Mr. Amartya Mukherjee appointed as VP and Head of Delivery, bringing 25+ years of experience from Accenture and IBM.
- Ms. Netra Deshpande promoted to Head of Engineering with 25+ years in cybersecurity product development including Symantec.
- Mr. Nitin Bhogan appointed as Director Cyber Awareness with 15+ years of experience in risk consulting and Mahindra SSG.
Quick Heal Technologies reported a significant turnaround in profitability for Q3 FY26, with net profit rising to ₹6.61 crore from just ₹0.11 crore in the same period last year. While revenue from operations saw a modest YoY increase to ₹71.54 crore, it declined sequentially from ₹83.52 crore in Q2. The company also announced a major leadership expansion with four senior management appointments and the re-classification of a promoter entity to the public category.
- Net Profit (PAT) grew to ₹6.61 Cr in Q3 FY26, a massive jump from ₹0.11 Cr in Q3 FY25.
- Revenue from operations stood at ₹71.54 Cr, up 1.3% YoY but down 14.3% QoQ.
- 9-month PAT for FY26 reached ₹9.01 Cr compared to ₹8.29 Cr in the previous year.
- Appointed four senior leaders including Savita Nehra (VP People and Culture) and Amartya Mukherjee (VP and Head of Delivery).
- Board approved the re-classification of Gagan Bharari Enterprises LLP from 'Promoter' to 'Public' category.
Quick Heal Technologies reported a significant turnaround in profitability for Q3 FY26, with Profit After Tax (PAT) rising to ₹6.61 Cr from a marginal ₹0.11 Cr in the same period last year. Revenue from operations saw a modest year-on-year growth of 1.3% to reach ₹71.54 Cr, while the company successfully reduced total expenses to ₹74.74 Cr. A major highlight is the aggressive strengthening of the leadership team, with new senior hires from global firms like Accenture, Wipro, and Symantec. Additionally, the board approved a promoter group entity's request to re-classify as a public shareholder.
- Consolidated PAT jumped to ₹6.61 Cr in Q3 FY26 compared to ₹0.11 Cr in Q3 FY25.
- Revenue from operations stood at ₹71.54 Cr, up from ₹70.61 Cr in the previous year's corresponding quarter.
- Total expenses decreased to ₹74.74 Cr from ₹77.83 Cr YoY, driven by better cost management.
- Appointed four senior leaders including Savita Nehra (VP People) and Amartya Mukherjee (VP Delivery) to drive growth.
- Promoter group entity Gagan Bharari Enterprises LLP applied for re-classification to the Public category.
Quick Heal Technologies has announced a change in the constitution of its statutory auditors, M S K A & Associates. The auditing firm has converted into a Limited Liability Partnership (LLP) effective January 13, 2026, and will now be known as M S K A & Associates LLP. This is a purely administrative change in the legal structure of the auditing firm and does not involve a change of the auditor itself. The firm will continue its engagement for the remaining period of its approved tenure with the company.
- Statutory Auditor M S K A & Associates converted to LLP effective January 13, 2026
- New entity name is M S K A & Associates LLP with ICAI Registration Number 105047W/W101187
- No change in the audit engagement terms or the remaining tenure of the auditors
- The update is a routine regulatory intimation regarding the auditor's legal constitution
Quick Heal Technologies has received a formal request from Gagan Bharari Enterprises LLP to be reclassified from the 'Promoter Group' to the 'Public' category. The applicant currently holds zero equity shares (0.00%) in the company and is not involved in its management or policy decisions. This request, made under Regulation 31A of SEBI (LODR) Regulations, will be considered in an upcoming Board meeting. As the entity holds no stake, this move is largely administrative and does not change the promoter's effective control.
- Gagan Bharari Enterprises LLP requested reclassification from 'Promoter Group' to 'Public' category.
- The applicant entity currently holds 0 equity shares, representing 0.00% of the total shareholding.
- The entity confirms no representation on the Board of Directors and no role as key managerial personnel.
- The request will be reviewed by the Board of Directors in compliance with SEBI (LODR) Regulations, 2015.
Quick Heal Technologies Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018. The certificate, issued by MUFG Intime India Private Limited, covers the quarter ended December 31, 2025. The Registrar and Share Transfer Agent confirmed that no securities were received for dematerialization during this specific period. This filing is a standard administrative requirement for all listed companies in India to maintain transparency in shareholding records.
- Compliance certificate submitted for the quarter ended December 31, 2025.
- Issued by Registrar and Share Transfer Agent, MUFG Intime India Private Limited.
- Confirmed that zero securities were received for dematerialization during the quarter.
- Filing adheres to Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018.
Quick Heal Technologies has announced the closure of its trading window starting January 1, 2026, in compliance with SEBI insider trading regulations. This closure is a standard procedure ahead of the declaration of the unaudited financial results for the quarter ending December 31, 2025. The window will remain closed for all designated persons and their immediate relatives until 48 hours after the results are made public. The specific date for the board meeting to approve these results will be communicated separately.
- Trading window closure effective from January 1, 2026
- Closure is related to the financial results for the quarter ended December 31, 2025
- Window will reopen 48 hours after the official declaration of results
- Compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015
Quick Heal Technologies Limited has allotted 15,352 equity shares to employees who exercised their options under the ESOP Scheme 2021. The exercise prices for these shares varied significantly, ranging from a base of ₹10 to as high as ₹291 per share. This allotment increases the company's total paid-up share capital to approximately ₹54.21 crore. The dilution resulting from this issuance is negligible compared to the total outstanding shares.
- Allotment of 15,352 equity shares of ₹10 face value each upon exercise of ESOPs.
- Exercise prices for the allotment ranged from ₹10 to ₹291 per share.
- Total issued share capital increased to 5,42,14,922 equity shares post-allotment.
- The allotment was made under the company's ESOP Scheme 2021 on December 24, 2025.
Quick Heal Technologies Limited announced the resignation of Ms. Swapna Sangari, Vice President People & Culture, effective December 8, 2025. The resignation is due to personal reasons. This change in senior management is being disclosed as per Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirement) 2015. Investors should monitor future announcements for any impact on company strategy or operations.
- Ms. Swapna Sangari resigned as VP People & Culture
- Resignation is effective from December 8, 2025
- Resignation is due to personal reasons as per the announcement
Financial Performance
Revenue Growth by Segment
In Q2 FY26, total net revenue grew 13.6% YoY to INR 83.5 Cr. The Enterprise segment (Seqrite) grew 30.0% YoY to INR 36.9 Cr, while the Consumer segment grew 8.3% YoY to INR 59.5 Cr. However, for H1 FY26, total net revenue declined 2.1% YoY to INR 140.8 Cr, with Consumer revenue falling 7.7% YoY to INR 91.2 Cr and Enterprise revenue rising 12.8% YoY to INR 68.6 Cr.
Geographic Revenue Split
Approximately 20% of Enterprise revenue is derived from International markets, with specific growth momentum noted in Southeast Asia and the Middle East. The remaining 80% of Enterprise and the bulk of Consumer revenue are domestic-focused, leveraging 'Make in India' positioning.
Profitability Margins
Gross margins remained exceptionally high at 96.9% in Q2 FY26 (compared to 96.3% in Q2 FY25). PAT margin for Q2 FY26 stood at 9.5% (INR 7.9 Cr), a significant recovery from a negative PAT margin of 9.6% (INR -5.5 Cr) in the immediate previous quarter (Q1 FY26).
EBITDA Margin
EBITDA margin for Q2 FY26 was 11.1% (INR 9.2 Cr), up from 4.2% (INR 3.1 Cr) in Q2 FY25, representing a 200.7% YoY increase in absolute EBITDA. This improvement was driven by seasonal strength in the consumer business and better operational efficiency through AI and automation in R&D.
Capital Expenditure
In FY25, the company invested INR 14.42 Cr in the purchase of property, plant, and equipment and intangible assets, compared to INR 7.56 Cr in FY24. This 90.7% increase reflects ongoing investments in infrastructure and product development.
Credit Rating & Borrowing
The company remains debt-free as of September 30, 2025, with a strong cash and investment balance of INR 191 Cr. This zero-debt status eliminates interest rate sensitivity on borrowings and provides flexibility for R&D and market expansion.
Operational Drivers
Raw Materials
As a software company, physical raw materials are minimal. 'Cost of material consumed' (primarily packaging/media for retail products) was INR 6.10 Cr in FY25, representing only 2.18% of total revenue. The primary operational cost is 'Employee benefits expense' at INR 185.55 Cr (66.4% of FY25 revenue).
Import Sources
Not specifically disclosed, but the company emphasizes its 'Make in India' status, suggesting high domestic value addition in its software development processes.
Key Suppliers
Not disclosed in available documents as the business model is driven by internal R&D rather than external raw material procurement.
Capacity Expansion
Operational capacity is measured by R&D and sales headcount rather than physical units. The company recently granted 48,000 ESOPs on November 28, 2025, to retain talent. R&D investments are being optimized through AI and automation to increase output without linear headcount growth.
Raw Material Costs
Direct costs (including material and software purchase) were INR 2.6 Cr in Q2 FY26, roughly 3.1% of revenue. The company maintains high gross margins by expensing all R&D investments (INR 32.9 Cr in Q2 FY26) rather than capitalizing them.
Manufacturing Efficiency
Efficiency is tracked via EBITDA margin improvement, which reached 11.1% in Q2 FY26 from a negative 17.0% in Q1 FY26, aided by seasonal tailwinds and cost optimization.
Logistics & Distribution
The company relies on a nationwide partner network. Sales and marketing expenses, which cover distribution support, were INR 22.5 Cr in Q2 FY26, or 26.9% of revenue.
Strategic Growth
Expected Growth Rate
13.60%
Growth Strategy
The strategy involves pivoting from the stagnant Consumer segment to the high-growth Enterprise segment (Seqrite), which now contributes 44% of gross revenue. Key drivers include the flagship EDR and XDR products (90% of enterprise revenue), new product launches like STI (Sentinel Threat Intelligence) and SMAP, and expanding the Government business where momentum is picking up with an order book of INR 27+ Cr.
Products & Services
Consumer cybersecurity software (Quick Heal), Enterprise security solutions (Seqrite), Endpoint Detection and Response (EDR), Extended Detection and Response (XDR), Data Privacy solutions, and Sentinel Threat Intelligence (STI).
Brand Portfolio
Quick Heal (Consumer), Seqrite (Enterprise).
New Products/Services
Recently launched STI (Sentinel Threat Intelligence) and SMAP. The company also received its first order for Seqrite Data Privacy in Q2 FY26. These newer products are expected to diversify the Enterprise revenue base beyond EDR/XDR.
Market Expansion
Focusing on International growth in Southeast Asia and the Middle East. In the domestic market, the company is targeting the 'Mid-Market' and 'SMB' segments for its Seqrite arm.
Market Share & Ranking
The company claims market leadership in the Indian consumer cybersecurity segment and is a 'premium' player.
Strategic Alliances
The company operates through a 'Strong Partner Network' across India to maintain proximity to customers and drive retail growth.
External Factors
Industry Trends
The industry is shifting toward platformized cybersecurity solutions (XDR/EDR) and Zero Trust architectures. Quick Heal is evolving from a pure-play antivirus provider to a holistic enterprise security partner to capture this 80% enterprise-heavy market (INR 3,200 Cr out of a total INR 4,000 Cr addressable market).
Competitive Landscape
Key competitors include global players like McAfee and various indigenous Indian cybersecurity firms. Quick Heal differentiates through premium pricing and local support proximity.
Competitive Moat
The moat is built on brand recognition in India, a 15-20% pricing premium, and a deep distribution network. Sustainability is supported by high switching costs in enterprise security and 'Make in India' certifications for government procurement.
Macro Economic Sensitivity
The business benefits from 'seasonal tailwinds' such as 'back-to-school' campaigns in the consumer segment. However, it is sensitive to general economic conditions affecting IT spending in the SMB and Enterprise sectors.
Consumer Behavior
There is a noted shift/headwind in the traditional consumer PC security market, prompting the company to focus more on Enterprise and newer digital privacy needs.
Geopolitical Risks
As a cybersecurity firm, it benefits from 'Make in India' and 'Atmanirbhar Bharat' initiatives, which reduce risks from international trade barriers in the sensitive government sector.
Regulatory & Governance
Industry Regulations
Operations are governed by SEBI (Share Based Employee Benefits) Regulations for ESOPs and the Companies Act 2013. Cybersecurity products must meet various international and domestic standards (e.g., AV-Test, AVLab Poland certifications).
Environmental Compliance
Not a major factor for software operations; the company files Business Responsibility and Sustainability Reporting as part of its annual requirements.
Taxation Policy Impact
The effective tax rate is impacted by deferred tax assets. In FY25, the company had a total tax benefit of INR 4.04 Cr despite a profit before tax of INR 1.00 Cr.
Legal Contingencies
The company has pending litigations disclosed in Note 35(d) of the consolidated financial statements. While specific values aren't in the summary, auditors noted these could impact the consolidated financial position.
Risk Analysis
Key Uncertainties
The primary uncertainty is the successful transition to the Enterprise segment to offset stagnant Consumer revenue. Consumer revenue declined 7.7% in H1 FY26, highlighting the urgency of this shift.
Geographic Concentration Risk
High concentration in the Indian market, although International revenue is trending positively in Southeast Asia and the Middle East.
Third Party Dependencies
Significant dependency on the 'Strong Partner Network' for collections and sales reach. Challenges in partner collections have directly impacted past revenue performance.
Technology Obsolescence Risk
High risk due to the rapidly evolving threat landscape. The company mitigates this by investing ~39% of revenue into R&D and launching products like XDR and Data Privacy.
Credit & Counterparty Risk
Provision for doubtful debts was INR 3.92 Cr in FY25 (down from INR 7.15 Cr in FY24), indicating ongoing but slightly improving credit risk management with partners.