Oct 29, 2026 earnings call — Record results and AI-native delivery shift
Company reported record revenue of $114.3 million and record non-GAAP EBITDA of $22.9 million.
Revenue $0.1B (est $0.1B) · EPS $0.18 (est $0.13) · Next-quarter revenue outlook $0.1B–$0.1B
Key quotes
"Now about AI-native delivery. 12 months ago, AI-native delivery was the direction we were heading toward. Today, it's how we deliver."
"We committed to 300 basis points of margin expansion in the fourth quarter of 2026 over the fourth quarter of 2025, and we exceeded our goal a quarter early."
"In physical AI, our first intralogistics humanoid deployment is on track for delivery at a global pharmaceutical company."
Analyst Q&A 6
technical issue with video
Q (Maggie Nolan · William Blair): Maggie said her video appeared disabled and checked audio. She did not ask a substantive question.
A: There was no management response in this exchange. The operator then allowed the analyst to proceed.
what drove the quarter and CTO focus
Q (Maggie Nolan · William Blair): Maggie asked what changed most meaningfully to drive the strong quarter and whether it is sustainable. She also asked Eugene where he is spending most of his time and how that shifted.
A: Management said the company implemented structural changes: more fixed-bid projects, stronger AI implementation positioning, and internal use of solutions as “client zero,” which improved margins and allowed backend consolidation and automation. The CTO said he is scaling proven AI-first modernizations and GAIN platforms, nurturing emerging areas like AI harness engineering and physical AI, and researching future themes such as AI native cybersecurity and sovereign AI.
"Remember, in 2022, we grew to so many countries, and we had to contain the ability to actually manage our organization through all these different countries and offices." — Leonard Livschitz (CEO)
winning Sysco and scaling new model
Q (Puneet Jain · JPMorgan): Puneet asked how Grid Dynamics outperformed other vendors at Sysco and whether that success is replicable. He also asked how the company will get thousands of employees to adopt the new factory delivery model and the technical change required.
A: Management said the Sysco win came from understanding customer tasks, relevant accelerators, partnering with a major hyperscaler, quickly scaling solutions, and proving real-time ROI across regions. On scaling the factory model, they emphasized CTO-led internal practices, training, evaluating models to avoid overreach, building a controlled “mousetrap” for clients, and deploying more on-prem and onshore specialists to deliver fixed projects with clear outcomes.
"To make story short, we are well-positioned in multiple regions." — Leonard Livschitz (CEO)
2027 growth mix and new consulting practice
Q (Bryan Bergin · TD): Bryan asked if 2027 growth will be broad-based or driven by a few large relationships. He also asked how the new business consulting differs from traditional consultancies and whether it pulls forward existing AI engineering work.
A: Management said growth will be both: long-standing clients where they can plan further out and new partnerships that accelerate faster deployments. They said the new business consultancy focuses on functionality and product—advising clients on what to build and why, then forward-deploying specialists and architects to bridge high-level strategy and realistic implementations rather than offering only grand strategic advice.
"The business consultancy which we are talking about is not about strategy, it is about functionality and the product." — Eugene Steinberg (CTO)
growth inside top accounts and margins
Q (Mayank Tandon · Needham and Company): Mayank asked how much capacity remains to grow within the top accounts versus needing new logos, and directionally how to think about gross and EBITDA margins into 2027.
A: Management said their share of wallet in top customers is very small today and they can grow double-digits from existing clients; partnerships also bring new clients. On margins, they said the margin improvement work started well before the quarter, they are approaching historical margins, the changes are structural across COGS and OpEx, and they plan continued tech and training investments while aligning growth and margin structure into 2027.
"Look, if I look at the wallet spend of my top 10 customers, I think we're not even a rounding error at this point." — Anil Doradla (CFO)
margin run rate, utilization, and M&A appetite
Q (Surinder Thind · Jefferies): Surinder asked how to think about the new margin run rate and seasonality, whether margins shown are one-time, and where utilization and the headcount reduction sit between billable and non-billable. He also asked about M&A appetite and product versus services strategy.
A: Management said the revenue rose by $6.1 million with flattish COGS and lower OpEx, lifting contribution margins and average revenue per person, and they view the company as structurally different entering 2027. They said utilization remains in the same range with better conversion to billability, most of the headcount reduction was non-engineering, the board now has appetite for larger acquisitions in 2027, and the company remains a services firm that complements partners rather than competing on pure product.
"Effectively, the revenue pickup happens because of you have more billable headcount." — Anil Doradla (CFO)