Netweb Technologies stock slides 7% despite strong Q4; margins drag

Netweb Technologies reported an operating income of ₹773.70 crore, up 86.6 per cent from ₹414.65 crore in the year-ago period

Netweb Technologies share price: Shares of Netweb Technologies, a product and solution provider for companies including AMD, Intel, Nvidia and Samsung, plunged over 7 per cent to hit an intraday low of ₹3,760 on the National Stock Exchange (NSE), despite the company reporting strong numbers for the January-March 2026 quarter (Q4FY26). 

 

Around 12:50 PM, Netweb Technologies stock was trading 6 per cent lower at ₹3,818, compared to the previous session's close of ₹3,760 on the NSE. In comparison, the NSE Nifty50 was quoting at 24,114.35 levels, up by 117 points or 0.49 per cent. The market capitalisation of the company stood at ₹21,745 crore. The stock price has declined around 16 per cent from its 52-week high of ₹4,479 touched on October 8, 2025.

 

Netweb Technologies Q4 results highlights

In the March 2025 quarter, Netweb reported an operating income of ₹773.70 crore, up 86.6 per cent from ₹414.65 crore in the year-ago period. On a sequential basis, operating income declined 3.9 per cent to ₹804.93 crore.

 

Its operating earnings before interest, tax, depreciation, and amortisation (Ebitda) rose 63 per cent to ₹96.57 crore from ₹59.2 crore in the corresponding quarter of the previous fiscal. Operating Ebitda margin slipped 181 basis points Y-o-Y to 12.5 per cent from 14.3 per cent. 

 

The company's profit after tax (PAT) came in at ₹70.5 crore, up 65.7 per cent from ₹42.6 crore in the year-ago period. 

 

Netweb's order pipeline stood at ₹4,431.5 crore as of March 31, 2026, with an L1 pipeline of ₹327.8 crore. The organic order book was ₹472 crore, while large deal orders accounted for ₹1,625.2 crore.

 

For the full fiscal 2026, the company's revenue almost doubled to ₹2,183.56 crore from ₹1,149 crore in the year-ago period. Its operating Ebitda stood at ₹284.84 crore, up 79 per cent from ₹159 crore. However, Ebitda margin declined to 13.3 per cent from 13.8 per cent in FY25.

 

Profit after tax jumped 80.9 per cent to ₹2,058.2 crore in FY26 from ₹1,137.5 crore in FY25. 

Netweb Technologies management commentary

Sanjay Lodha, chairman and managing director at Netweb Technologies, said the defining highlight of FY26 has been the performance of the company's AI Systems segment, which grew 459.6 per cent year-on-year. 

 

"This growth was the result of years of focused, in-house R&D, enabling us to design and manufacture some of the world's most powerful, latest-generation AI systems, combined with disciplined planning and execution of large, strategically significant national-scale orders. AI Systems contributed 43.4 per cent of our total operating revenue in FY26, a transformational shift in our revenue mix that firmly positions Netweb at the centre of India's AI infrastructure build-out," he said.

 

Netweb's other two core segments, HPC and Private Cloud, continue to exhibit robust demand, reinforcing the breadth and resilience of our technology portfolio.

 

"As India's only full-stack domestic provider of high-end computing systems, Netweb is uniquely positioned to power this transition. Our strategy remains firmly anchored on our three growth pillars: HPC, Private Cloud, and AI Systems, supported by our established technology leadership in the High-End Computing Systems (HCS) space and a large order pipeline," Lodha said.