Netweb Technologies India Limited – Investor Presentation Summary

Key Operational Highlights

  • Revenue from Operations reached record ₹8,196.86 million in Q1 FY27
  • Order book stood at ₹25,069.35 million as of 30th June 2026 with L1 position of ₹8,480.47 million
  • Cash Conversion Cycle increased to 96 days from 84 days in March 2026
  • Inventory Days increased to 110 days from 86 days in March 2026
  • Receivable Days improved to 78 days from 86 days in March 2026
  • Payable Days increased to 92 days from 88 days in March 2026

Key drivers of operational performance: Unprecedented AI infrastructure build-out, sustained demand momentum, and disciplined execution across business segments.

Segment-wise Performance

  • AI Systems segment contributed ₹5,105.70 million (62.29% of Revenue from Operations), growing 484.20% YoY
  • HPC segment maintained robust traction at ₹1,252.94 million
  • Private Cloud segment maintained robust traction at ₹1,353.46 million

Explanation of significant changes in segment performance: AI Systems segment emerged as the key growth driver, while HPC and Private Cloud maintained strong performance, reinforcing the breadth and resilience of the three growth pillars.

Financial Highlights

Revenue: ₹8,196.86 million

EBITDA: ₹1,205.15 million (Operating EBITDA)

PAT: ₹853.23 million

EPS: ₹14.98 (Diluted, not annualized)

Margins: Operating EBITDA Margin 14.70%, PAT Margin 10.30%

YoY/QoQ comparison: Revenue grew 172.13% YoY and 5.94% QoQ; PAT grew 179.94% YoY and 20.87% QoQ

Drivers of financial performance: Higher revenue growth across all segments, particularly AI Systems which grew 484.20% YoY

Comparison to market estimates: Not Specified

Key Risks: Not explicitly disclosed in the presentation

Geographical Revenue Split

Domestic vs Export/Regional Revenue: Not Specified

Regional Breakdown: Not Specified

Balance Sheet Snapshot

Net Worth: ₹8,087.45 million (June 2026)

Total Borrowings: ₹2,625.06 million (June 2026)

Lease Liabilities: ₹107.71 million (June 2026)

Free Cash: ₹733.77 million (June 2026)

Net Debt: ₹1,999.00 million (June 2026)

Net Fixed Assets: ₹608.61 million (June 2026)

Net Current Assets: ₹9,450.79 million (June 2026)

Financial Health Insights: Strong revenue growth and profitability, though net debt position increased from net cash position in previous periods

Capex & Cash Flow Health

Capital Expenditure: Not Specified for current quarter

Free Cash Flow: Not Specified

Operating Cash Flow: Not Specified

Net Debt Movement: Increased to ₹1,999.00 million in June 2026 from net cash position of (₹1,243.53) million in March 2026

Investment Rationale: Focus on capacity expansion, technology upgrades, and R&D investments in high-end computing solutions

Strategic & R&D Initiatives

Investments in Innovation: Fully integrated design, manufacturing and deployment capabilities; chip-agnostic design philosophy; development of quantum simulators and emulators; proprietary hardware and middleware stack

Expected impact on growth: Early-mover position in AI infrastructure strengthening growth trajectory and opportunity pipeline

Strategic Rationale: Expanding into high-growth markets including AI systems, HPC, and private cloud; aligning with Make in India vision and sovereign AI initiatives

Industry Trends & Business Environment

Macro/Industry Trends: Unprecedented AI infrastructure build-out in India; IndiaAI Mission's ₹103 billion allocation over FY25-29; NSM 2.0 shift to "build and design in India" approach; broadening HPC adoption from research institutions to enterprises

Impact on Company: Creating deep, multi-year demand pipeline for high-end computing systems designed and manufactured within India; domestic design and manufacturing emerging as decisive qualification criteria

Management Commentary & Growth Outlook

Strategic Outlook: "Sovereign AI compute is no longer aspirational; it is a strategic national imperative, creating a deep, multi-year demand pipeline for high-end computing systems designed and manufactured within the country"

FY Guidance: Not explicitly provided

Market Share Targets: Not Specified

Risks and Opportunities: Regulatory measures and sovereign AI initiatives accelerating India's compute infrastructure development; alignment with IndiaAI Mission and NSM 2.0 creating significant growth opportunities

Additional Business Highlights

  • Company has 139 repeat customers associated for over 6 years using FY16 as base
  • Average tenure of Top 10 customers (Q1FY27) is 7.68 years using FY16 as base
  • 477 new customers onboarded from FY24 to Q1FY27
  • Maintains technical expertise with 22 patents (registered and applied for)
  • Gross Fixed Asset Turnover Ratio improved to 43.89 in June 2026 from 33.04 in March 2026
  • ROE calculated at 44.55% for annualized Q1 FY27
  • ROCE calculated at 48.16% for annualized Q1 FY27
  • Net Debt/Operating EBITDA ratio at 0.41 for annualized Q1 FY27