E2E Networks (E2E) Q2 25/26 earnings summary

Executive summary

• Achieved significant growth in cloud infrastructure, with robust demand for AI and cloud computing services across India and globally.

• Provides end-to-end cloud infrastructure and support, including high-performance cloud and storage solutions, across multiple countries via four data centers in India.

• Secured two large IndiaAI Mission orders (INR 88 crore and INR 177 crore) for LLM training, expected to go live soon and drive revenue growth.

• Strategic partnerships include NVIDIA and L&T, and awarded contracts under India's AI mission.

• Ongoing acquisition of SilverTap assets and asset purchase agreement with Jarvis Labs AI Private Limited to enhance global customer delivery and strengthen technical talent.

Financial highlights

• Q2 FY26 revenue reached INR 50.8 crore (INR 438 Mn), up 21% sequentially but down 7.9% year-over-year.

• EBITDA margin improved to 41% from 29% in the previous quarter, but down from 66.1% in Q2FY25.

• Net loss of INR 13.5 crore (INR 135 Mn), with PAT margin at -30.7% and diluted EPS at INR -6.64.

• Capex for Q2FY26 was INR 491 Mn, with significant GPU deployment in May and August 2025.

• Cash and cash equivalents as of September 30, 2025, stood at ₹35,049.70 lakhs, down from ₹46,368.12 lakhs as of March 31, 2025.

Outlook and guidance

• Monthly run rate guidance of INR 35–40 crore by March 2026, likely to be achieved earlier due to large AI orders.

• Targeting 80–90% utilization of current infrastructure by March.

• Plans to capitalize on AI growth, expand GPU infrastructure, and strengthen participation in India's AI mission.

• Members approved a special resolution for future fundraising through equity shares or other eligible securities.

• Long-term focus on incremental capacity expansion and prudent capital deployment.