Sunday Feb 22, 2026
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Founder/Chairman Dinesh Saparamadu (left) and CEO Sampath Jayasundara
hSenid Business Solutions PLC (hSenidBiz) announced its financial results for the third quarter of FY2026, marking a transformative period as the company achieved profitability and surpassed the $ 5 million exit Annualised Recurring Revenue (ARR) milestone. Total revenue for the quarter reached Rs. 547.6 million, reflecting year-over-year growth of 27% in LKR terms and 23 % in USD constant currency terms.
The PeoplesHR Cloud segment continued to drive robust performance, recording a strong 48% year-over-year increase in LKR terms and 42% in USD constant currency. Subscription revenues comprised 86% of the segment, reflecting the strength of the company’s recurring revenue model. Recurring revenues contributed 73% of total revenue, reinforcing the quality and sustainability of the company’s revenue base.
The company achieved an exit Annualized Recurring Revenue (ARR) of $ 5.2 million, marking a significant milestone in the company’s journey as a leading HR technology provider in emerging markets. New deal closures for the quarter amounted to $ 330,046, a 29% increase compared to the same period last year, with 97% of deals attributed to the PeoplesHR Cloud business.
Commenting on the quarter’s performance, Founder and Chairman Dinesh Saparamadu said: “Achieving the $ 5 million ARR milestone validates the progress we have made in building a sustainable, recurring revenue-led business. This represents a defining moment in our journey, and we remain focused on expanding our presence across key markets while continuing to deliver innovative solutions that drive value for our customers.”
The company delivered exceptional profitability metrics during the quarter. Normalised EBITDA margin reached 17%, reflecting the combined impact of topline growth and sustained operational discipline. hSenidBiz reported a net profit of Rs. 35 million for the quarter, while continuing to generate strong free cash flows with a FCFF margin of 9%.
CEO Sampath Jayasundara said: “Achieving profitability is a testament to the discipline and focus our team has maintained throughout this transformation. The combination of strong revenue growth and operational efficiency positions us well to drive sustained value creation. We remain committed to scaling our business while maintaining the profitability momentum we have established.”
The company said it will continue to advance its product roadmap during the quarter, with development efforts focused on enhancing AI capabilities including usage monitoring and conversational analytics, alongside strengthening localisation features for key markets such as Indonesia.
Looking ahead to the final quarter of FY2026, the company remains focused on maintaining profitability while accelerating growth momentum, strengthening its sales pipeline across key markets, and capitalising on ongoing product enhancements to create greater value for HR communities globally.
PeoplesHR, the Company’s flagship human capital management software solution, supports over 1,700 HR departments across 40 countries spanning South Asia, Southeast Asia, the Middle East, and Africa, helping organisations digitise the entire employee journey from recruitment to retirement.
