Netweb Technologies delivered an exceptional performance in the third quarter, reporting a sharp surge in revenue supported by robust project execution and rising demand for advanced computing and AI-led solutions.

Revenue and Profitability Performance

For Q3, Netweb recorded revenue of ₹804 crore, registering a strong year-on-year growth of 140% and surpassing market expectations. EBITDA for the quarter increased to ₹97.5 crore, compared with ₹44 crore in the same period last year. While operating profit more than doubled, EBITDA margins witnessed a marginal decline on both a sequential and annual basis, reflecting changes in the project mix and execution timelines.

AI Business Emerges as Key Growth Driver

Artificial intelligence continued to be the primary growth engine for the company, contributing 64.2% of total revenue during the quarter. This marks a significant increase from the 47.6% contribution recorded during the first nine months of the financial year, underscoring Netweb’s increasing focus on AI systems and high-performance computing solutions.

Order Execution and Growth Visibility

The strong quarterly performance was aided by the early execution of a strategic order valued at ₹450.39 crore, which was originally scheduled for execution in the fourth quarter. As of the end of Q3, Netweb reported a healthy order pipeline of ₹4,270.3 crore, including an L1 pipeline of ₹331 crore, providing strong revenue visibility for the coming quarters.

Management has indicated that execution of large strategic orders could impact profit before tax margins by around 150–200 basis points, reflecting a balanced approach between scale, execution speed, and margin sustainability.

Summary:
Netweb Technologies reported a 140% year-on-year jump in Q3 revenue to ₹804 crore, driven largely by strong demand for AI-led solutions, which accounted for over 64% of revenue. Early execution of a large strategic order and a robust order pipeline of over ₹4,270 crore provide strong growth visibility, even as margins remain under close watch due to project mix and execution dynamics.

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