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

Executive summary

• Achieved record quarterly revenue of INR 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 INR 979.5 million, up 127.1% YoY; PAT at INR 733.1 million, up 146.7% YoY.

• Successfully executed a strategic order worth INR 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 identified.

Financial highlights

• Q3 FY26 operating income: INR 8,049.3 million (+141% YoY, +165% QoQ); 9M FY26: INR 14,099 million (+92% YoY).

• Q3 FY26 operating EBITDA: INR 979.5 million (+127.1% YoY, +115.4% QoQ), margin 12.2%.

• Q3 FY26 PAT: INR 733.1 million (+146.7% YoY, +133.2% QoQ), margin 9%; 9M FY26 PAT: INR 1,352 million (+90.1% YoY), margin 9.5%.

• Diluted EPS for Q3 FY26: 12.94, up 145.4% YoY; Basic EPS: 12.94, up from 5.27 in Q3 FY25.

• Operating profit for Q3 FY26 was INR 980.66 million, up from INR 401.15 million in Q3 FY25.

Outlook and guidance

• Maintains organic growth guidance of 30%-40% CAGR for FY26 and FY27.

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

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

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

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