FarEye achieved its first-ever quarterly profit in the three months ended March 31, a significant financial milestone in Q4 of FY26. This follows the India-based delivery management software provider’s continued international expansion, with revenue from Europe, Middle East and Africa (EMEA) growing 51.17 per cent over the full financial year.

The company’s net loss narrowed substantially to $1.07 million in fiscal 2026 from $5.90 million a year ago, indicating better financial performance and improved operating efficiency.

Since raising $100 million in funding in 2021 to fuel its international expansion, FarEye has expanded its presence in a number of markets. In fiscal 2026, its North American and EMEA operations together contributed over four times the new revenue that its Asia-Pacific (APAC) business contributed.

The company also said its regional revenue figures do not necessarily reflect the actual geographic spread of its customer relationships, with some key clients operating in multiple markets.

Revenue from the Americas rose 13.25% to $7.97 million and EMEA contributed $10.4 million in fiscal 2026, Nahata said. Operating revenues increased by 24.58% to $27.90 million.

FarEye reports results in Indian rupees, using an exchange rate of 88.37 rupees for each US dollar for each year. This means that the reported year-on-year growth rates are unaffected by currency fluctuations.

Nahata also talked about the increasing strategic importance of last-mile delivery, saying it’s now a core part of the customer experience, rather than just the final step of an order. He pointed out that many business decision makers are still focused on the cost of delivery and not on the fact that delivery performance is part of customer retention.

Growing Base of Large Enterprise Customers

FarEye counted 13 Fortune Global 500 companies or their corporate groups as customers at the end of fiscal 2026. Four such relationships were added during the financial year.

The company’s business model focused on large enterprise accounts and customers with at least $500 million in annual revenue, which accounted for 70.86% of FarEye’s revenue from operations.

FarEye’s flagship customer Maersk is using its technology to increase the utilization of its Ground Freight capacity. Tractor Supply uses the company's AI tools to coordinate its fleet with third-party delivery networks at more than 2,400 stores in the U.S.

Delivery technology providers are seeing more doors open with the growth of e-commerce. E-commerce accounted for 17.1% of US retail sales in the second quarter of 2026, up 12.2% year-on-year, according to the US Census Bureau’s Quarterly Retail E-Commerce Sales report. Overall retail sales, however, increased 6.7%.

The battle for big retail customers is changing as well. Locus, an AI-driven logistics platform, was acquired in October 2025 by the Ingka Group, the biggest Ikea retailer.Following the acquisition, the platform continued to serve its existing enterprise customers, demonstrating the increasing strategic significance of logistics technology in major retail groups.

Financial recovery through enhanced revenue and disciplined expenditure

FarEye’s better financial position came with an evident gap in revenue growth vs expenditure.

Revenue from operations increased $5.51 million in fiscal 2026 compared with an increase in total expenses of $0.96 million.

The company’s costs were up about 17 cents for every incremental dollar in revenue, Nahata said.

He said this improvement was partly due to the use of AI tools in operational activities and product development while employee costs had remained virtually unchanged compared with the previous financial year. But FarEye did not reveal what tasks were automated, or changes in the size of its workforce.

The company's subscription gross margin improved to 79.42% in fiscal 2026 from 73.44% in fiscal 2025 and 67.38% in fiscal 2024.

The recurring revenue base was robust and subscriptions supported by multiyear fixed-term contracts accounted for 83.25% of revenue from operations.

It’s not just artificial intelligence adoption that is improving the profitability of the company, but a number of factors including product development, business scale and higher productivity, Nahata said.

PILOT builds on FarEye's agentic AI capabilities

FarEye also expanded its technology offering in April with the launch of PILOT, an agentic AI dispatcher for last-mile delivery hubs, after the close of fiscal 2026.

Its contribution will not be reflected in fiscal 2026 results as the product was launched after the financial year end.

PILOT is designed to handle a variety of key dispatching functions like scheduling, route planning, driver assignment and dealing with delivery exceptions. Human dispatchers are still involved and can approve or override the system’s decisions when operational circumstances demand human judgment.

Nahata emphasized the need to ensure that teams dispatching know why the system is making those decisions, and can intervene if needed.

FarEye has not disclosed how many customers are using PILOT in live production environments, or how much money it’s generating.

FarEye refrains from issuing fiscal 2027 profit guidance

Despite achieving its first profitable quarter, FarEye has not issued a profit forecast for fiscal 2027. The company has also not disclosed the exact profit or revenue figures for the fourth quarter.

At the end of fiscal 2026, its cash reserves stood at $30.63 million.

Nahata said the company is now better positioned to serve a growing customer base without having to increase costs at the same rate. Although FarEye is not yet ready to provide profit projections for the next financial year, he described fiscal 2026 as an important step towards demonstrating the sustainability of its growth model.