Netweb Technologies India (NETWEB) Q4 24/25 earnings summary

Executive summary

• Achieved record operating income and PAT for Q4 and FY 2025, with Q4 FY25 operating income up 55.9% YoY to ₹4,146.5 million and PAT up 45% YoY to ₹429.9 million.

• Board recommended a final dividend of ₹2.50 per share (125% of face value, 12.4% payout), subject to shareholder approval.

• Received first claim under PLI scheme 2.0 for IT hardware, amounting to ₹59.4 million.

• Successfully deployed SAP S/4HANA for enhanced operational and financial process control.

• Audited financial results for FY25 were approved with an unmodified audit opinion from statutory auditors.

Financial highlights

• FY25 revenue from operations was ₹11,490.21 million, up 58.7% YoY; Q4 FY25 revenue was ₹4,146.51 million, up 55.9% YoY.

• FY25 PAT was ₹1,144.8 million, up 50.8% YoY; Q4 FY25 PAT was ₹429.94 million, up 45% YoY.

• FY25 operating EBITDA was ₹1,600.1 million, up 56.1% YoY; Q4 FY25 EBITDA was ₹597.7 million, up 47.9% YoY.

• EBITDA margin for FY25 was 13.9%; Q4 FY25 EBITDA margin was 14.4%.

• Net free cash of ₹1,621.3 million as of March 31, 2025; cash and cash equivalents at year-end were ₹1,700.83 million.

Outlook and guidance

• Confident in achieving 35%-40% CAGR in top-line growth over the next couple of years.

• Guiding for operating EBITDA margin of 13%-14% and PAT margin around 10% for the upcoming fiscal year.

• AI segment expected to reach 19%-20% of revenue in the next 1-2 years, up from 14.8%-15%.

• Robust business pipeline and strong order book support sustained growth, including international expansion.

• Dividend of ₹2.50 per share proposed for FY25, pending AGM approval.