Netweb Technologies India Ltd Q4FY25 Result Analysis

Netweb is one of India’s leading high-end computing solutions (HCS) provider, with fully integrated design and manufacturing capabilities. HCS offering comprises HPC, Private cloud and (HCI), AI systems and enterprise workstations, High performance storage (HPS) and Data Centre Servers. With more than 20 years of experience, Netweb has helped thousands of companies globally by following a customer-centric approach. Provider of servers, storage, backup, and HPC solutions that customize the right technology blocks customized to the business requirements.

Result Analysis:  Netweb Technologies India Ltd.  (CMP: Rs. 1,604 )

Result Update: Q4FY25

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Financial Performance:

Shareholding Pattern:

Particulars (In %)	Q4FY25	Q4FY24
Promoter	71.03	75.04
FIIs	11.20	10.51
DIIs	5.34	6.92
Public & Other	12.44	7.54

Management Commentary:

• The company has announced Rs 2.5 per share dividend.
• India’s vibrant AI research landscape and adoption across verticals, fueled by government initiatives to develop indigenous LLMs, offers significant innovation opportunities. Netweb is strategically positioned to capitalize on this momentum, anchored by focus on three pillars: HPC, Private Cloud, and AI Systems. In FY25, AI continued to be a major growth engine, contributing 14.8% to revenue with a 112.0% YoY increase.
• The launch of Skylus.ai marks a significant step in strengthening the leadership in the design and solutioning of AI systems in India, contributing to the nation’s vision of becoming the AI factory of the world.

Outlook:

Netweb Technologies is well-positioned to benefit from India’s growing focus on AI and digital infrastructure, supported by strong government initiatives. With a 55.9% YoY revenue growth and 112% growth in AI systems income in FY25, the company is demonstrating robust momentum. Its strategic focus on HPC, Private Cloud, and AI Systems, along with the launch of Skylus.ai, enhances its role in shaping India’s AI future. The successful SAP deployment and PLI Scheme 2.0 benefits further strengthen operational and financial performance. A strong order book of ₹325.2 crore and a ₹2.5 per share dividend reflect confidence in sustained growth and shareholder value creation. It has posted an EPS of ₹20.24x in FY25. The stock currently trading at a P/E of 79.2x and P/B of 19.92x.

Results:

Particulars (In Rs. Cr.)	Q4FY25	Q4FY24	Q3FY25	YoY%	QoQ%	FY25	FY24	YoY%
Sales	414.65	265.89	333.99	55.9	24.2	1149.02	724.08	58.7
Other Income	2.5	3.94	1.56	-36.5	60.3	9.39	11.89	-21
Total Income	417.15	269.83	335.55	54.6	24.3	1158.41	735.96	57.4
Total Expenditure	354.89	225.47	290.05	57.4	22.4	989.01	621.55	59.1
EBIDT	62.26	44.36	45.5	40.4	36.8	169.4	114.42	48.1
Interest	1.19	2.83	1.47	-58	-19.0	4.09	6.21	-34.1
EBDT	61.08	41.53	44.02	47.1	38.8	165.31	108.21	52.8
Depreciation	3.18	1.73	3.1	83.8	2.6	11.34	6.25	81.4
EBT	57.9	39.8	40.92	45.5	41.5	153.97	101.96	51
Tax	15.08	9.54	10.87	58.1	38.7	40.21	25.72	56.3
Deferred Tax	-0.17	0.61	-0.27	-127.9	-37.0	-0.71	0.34	-308.8
PAT	42.99	29.66	30.32	44.9	41.8	114.48	75.9	50.8

Source: Company website, EWL Research

 

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