NIIT (NIITLTD) investor relations material

Executive summary

• Q2 consolidated revenue was Rs 982.17 million, down 6% YoY; lower GSI spending weighed on results, while business outside GSIs grew.

• EBITDA rose to INR 27 million from negative INR 14 million in Q1; AI revenue contribution reached 12.4%, and BIPS revenue grew.

• Anish Sarkar joined as CEO in October and is reviewing the portfolio, markets, go-to-market approach, costs and AI opportunities.

Financial highlights

• Consolidated Q2 revenue was Rs 982.17 million versus Rs 1,049.45 million YoY; H1 revenue was Rs 1,938.70 million versus Rs 1,890.62 million.

• Q2 EBITDA was INR 27 million, or 2.7% margin, versus INR 13.5 million in Q2 FY26 and negative INR 14 million in Q1 FY27; H1 EBITDA was INR 12.5 million versus negative INR 49 million.

• Q2 net loss was INR 22 million; loss from continuing operations was Rs 17.45 million versus profit of Rs 7.09 million YoY. H1 continuing-operations profit was Rs 58.76 million.

• Consolidated Q2 basic EPS from continuing operations was a loss of Rs 0.15; basic EPS including discontinued operations was a loss of Rs 0.16. H1 basic EPS was Rs 0.42.

• Operating expenses were INR 955 million, down 8% YoY; Q2 depreciation was INR 103 million and net other income was INR 65 million.

Outlook and guidance

• FY27 revenue is expected to be broadly flat, with a low single-digit EBITDA margin; management plans to revisit its outlook next quarter.

• GSI volumes are expected to remain under pressure for the next couple of quarters, with no significant contribution from revised transformation plans in that period.

• Growth outside GSIs is expected to gain momentum; cost optimization continues, with capital reserved for strategic initiatives expected to deliver returns.

• AI, BIPS, university skilling and GCCs support longer-term growth; manufacturing and EV workforce initiatives remain in progress and may take time to contribute.