1. Executive Overview

Fractal, founded in 2000, is a global leader in Enterprise AI and Data, Analytics, and AI (DAAI) solutions. The company helps businesses make better decisions using end-to-end AI, combining engineering, design, and behavioral science. It serves 122 major clients, including global companies like Citibank, Costco, Nestlé, and Mondelez, and even works with several top global tech firms. Fractal has a strong international presence, with over 90% of its revenue coming from markets like the Americas and Europe.

The company is highly recognized in the industry, consistently rated as a “Leader” by firms like Forrester and Everest Group. It also shows strong client loyalty, with high customer satisfaction (NPS of 76) and revenue growth from existing clients (NRR of 114%). This reflects its strong relationships, effective solutions, and ability to grow business with existing customers.

2. Business Model and Revenue Streams

Fractal generates revenue through two primary segments: Fractal.ai (AI services and products) and Fractal Alpha (independent AI businesses). The model is heavily focused on long-term partnerships with high-value enterprises, where it deepens engagements over time—evidenced by an average 8-year tenure with its top 10 clients.

Revenue Breakdown by Segment & Industry (Fiscal 2025)

Operating Metrics & Client Concentration

• Client Concentration: The Top 10 clients accounted for 54.2% of revenue in H1 FY26, highlighting a high-dependency on marquee accounts but balanced by long-term stability.
• Expansion Metric: The company has 52 clients generating over US$1 million in annual revenue and 4 clients contributing over US$20 million.
• Retention: Net Revenue Retention (NRR) stood at 121.3% for Fiscal 2025, indicating that existing clients increased their spending by over 20% year-on-year.

3. Products and Service Portfolio

Fractal’s portfolio is split between high-touch AI Services and scalable Agentic AI Products.

Key Product Lines (Hosted on Cogentiq Platform)

• Cogentiq: The flagship Agentic AI platform used to rapidly build and deploy intelligent agents that plan and act autonomously.
• Asper.ai: An AI-first SaaS platform for CPG companies focusing on revenue growth management, demand planning, and inventory optimization.
• Kalaido.ai: A proprietary text-to-image diffusion model capable of generating high-quality visuals from prompts in multiple Indian languages.
• Vaidya.ai: A medical multi-modal foundation model ecosystem designed for healthcare reasoning and assistant tasks.
• Trial Run: A business experimentation software for testing ideas across physical retail sites and markets.

Operational Data & R&D Focus

• Innovation Scale: Fractal invested ₹1,436 million (5.2% of revenue) into R&D in Fiscal 2025.
• IP Portfolio: As of January 19, 2026, the company holds 28 registered patents and has 38 pending applications.
• Human Capital: A workforce of 5,722 employees (Fractalites), with a highly selective hiring rate of just 1.2% of applicants.

4. Key Business Strengths

• Market Leadership: Recognized as India’s leading pure-play enterprise AI company with a 18.0% CAGR (FY23-25), outperforming the global DAAI market.
• Marquee Client Base: Deep-rooted relationships with Fortune 500 leaders across BFSI, CPGR, and TMT industries.
• Proprietary AED Framework: Unique integration of AI, Engineering, and Design that focuses on "decision-backwards" problem solving.
• Proven R&D Engine: Successful track record of incubating and spinning off specialized AI businesses like Qure.ai and Asper.ai.
• Institutional Culture: Consistently awarded "Great Place to Work" for 8 consecutive years, driving high talent retention and referrals.

5. Future Growth Strategy

• MWC Expansion: Focus on acquiring and growing "Must Win Clients" through dedicated account management in the US, UK, and Middle East.
• Agentic AI Leadership: Scaling the Cogentiq platform to port all existing AI products into an "agentic" and enterprise-ready framework.
• Sovereign AI Development: Building India’s first large reasoning models (up to 70B parameters) under the IndiaAI Mission.
• Strategic M&A: Selective pursuit of acquisitions to fill technical gaps, similar to the successful integrations of Senseforth.ai and Neal Analytics.
• B2C Visibility: Launching consumer-facing products like MarshallGoldsmith.ai to showcase AI potential and inspire enterprise use cases.