Netweb Technologies India (NETWEB) Q3 25/26 earnings summary

Executive summary

• Achieved record quarterly revenue of ₹8,049.3 million in Q3 FY26, up 141% YoY and 165% QoQ, with highest-ever income and profit, driven by a major strategic order and surging AI Systems demand.

• Operating EBITDA reached ₹979.5 million, up 127.1% YoY; PAT at ₹733.1 million, up 146.7% YoY.

• Successfully executed a strategic order worth ₹4,504 million, boosting AI Systems revenue share to 64% in Q3 FY26.

• Strong demand continues across AI, HPC, and Private Cloud segments, supported by in-house design and manufacturing aligned with 'Make in India' initiatives.

• Board approved and released unaudited financial results for the quarter and nine months ended December 31, 2025, with a limited review by statutory auditors and no material misstatements.

Financial highlights

• Q3 FY26 operating income: ₹8,049.3 million (+141% YoY, +165% QoQ); EBITDA margin: 12.2%.

• Q3 FY26 PAT: ₹733.1 million (+146.7% YoY, +133.2% QoQ); PAT margin: 9%.

• 9M FY26 operating income: ₹14,098.6 million (+92% YoY); EBITDA: ₹1,883 million (+88.7% YoY), margin 13.4%.

• 9M FY26 PAT: ₹1,352 million (+90.1% YoY), margin 9.5%.

• Basic and diluted EPS for Q3 FY26: ₹12.94, up 145.4% YoY.

Outlook and guidance

• Organic growth guidance maintained at 30%-40% CAGR for the next 2-3 years.

• Strong topline visibility with a pipeline of ₹42,703 million and L1 of ₹3,316 million as of December 31, 2025.

• Expansion into Europe and Middle East planned, with new service networks in four countries.

• Margins expected to be 200 bps lower on strategic orders; core business margins guided at 13%-14%.

• No major capacity constraints anticipated up to ₹2,500-3,000 crore revenue.