Shares of Netweb Technologies were locked at the 5 percent upper circuit on January 24 after the company reported a strong set of numbers for the quarter ended December 2023.
The stock was up 5 percent at Rs 1432.40 on the BSE.
The company said year-on-year, its profit after tax for the quarter increased 20 percent to Rs 26 crore from Rs 21.68 crore in the same quarter last year. Its revenue came in at Rs 257.91 crore, up 44.3 percent from Rs 178.69 crore.
Netweb’s EBITDA stood at Rs 38.76 crore, rising 23.9 percent YoY. However, its EBITDA margin contracted by 248 basis points to 15 percent for the quarter.
“It is also pertinent to note that revenue from AI Systems and Enterprise Workstations Segment increased by 340 percent YoY,” said Sanjay Lodha, Chairman and Managing Director, Netweb Technologies.
“In recent months, adoption of Generative AI models has expanded rapidly, integrating widely across various industries, and signaling a dynamic evolution in our approach to work and life. Notably, India's substantial potential is evident in recent developments, highlighting the country's capacity to seize opportunities in this evolving landscape. This is promising for the expansion of our diverse product offerings.”
Lodha said that Netweb’s business pipeline and order book are strong, reflecting continual growth.
The company added that it recently bagged an order from VSSC (ISRO) for their upcoming supercomputer, envisaged to be the largest for the Department of Space, valued at Rs 147.7 crore.
“Continuous improvements in our capabilities, along with the expansion of our operations and product portfolio, positions us favorably for sustained growth while retaining our technological leadership,” Lodha said.
Netweb offers a full stack of products and solutions to various end user industries such as IT, ITES, BFSI, National Data Centers and Govt. entities such as Defense, Education and R&D Institutions.
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