Netweb Technologies Q2 Results, October 24, 2026: Profit Up 335% as AI Systems Take Over

Netweb Technologies Q2 results, out on Saturday, October 24, 2026, are the kind of numbers you read twice. Revenue from operations for the July-September quarter rose 335.7% year on year to ₹1,323.3 crore, and profit after tax rose 334.8% to ₹136.7 crore. Put simply, the Faridabad-based maker of high-end servers and supercomputing systems did more than four times the business it did a year ago. The figures below come from the company’s Q2 FY27 press release filed with NSE, and they match what CNBC-TV18 reported from the same disclosure.

Netweb Technologies Q2 results in numbers

• Revenue from operations: ₹1,323.3 crore, against ₹303.7 crore in Q2 FY26 (up 335.7%) and ₹819.7 crore in Q1 FY27 (up 61.4% quarter on quarter).
• Operating EBITDA: ₹197.3 crore, up 334.0% from ₹45.5 crore a year ago.
• Operating EBITDA margin: 14.9%, against 15.0% a year earlier and 14.7% in Q1.
• Profit after tax: ₹136.7 crore, up from ₹31.4 crore a year ago and ₹85.3 crore in Q1 (up 60.2% sequentially).
• Diluted EPS: ₹23.54 for the quarter, against ₹5.55 in Q2 FY26 (not annualised).

The margin line is the quiet story here. Revenue grew more than fourfold, yet the operating margin barely moved, slipping just 6 basis points from a year ago. The company calculates PAT margin on total income rather than on revenue, which is why its 10.2% PAT margin figure is slightly lower than a straight profit-to-revenue division would give.

Half a year that beat the whole of last year

The headline Netweb itself chose was about the first half. H1 FY27 profit after tax came to ₹222 crore, already above the ₹205.8 crore it earned in all of FY26. Revenue from operations for April-September was ₹2,143 crore, up 254.2%, which is within touching distance of the ₹2,183.6 crore it booked for the entire previous year.

Netweb earned more profit in six months than it did in the whole of last year, and its margins barely moved while it did it.

AI systems are now most of the business

We’d been watching for how much of this growth comes from AI hardware, and the answer is: most of it. In Q2 alone, AI systems brought in ₹773.1 crore, which is 58.4% of revenue from operations, and that line grew 1,068.1% year on year. For the half year, income from AI systems was ₹1,283.6 crore, up 735.8%, making up 59.9% of operating revenue.

The older businesses haven’t disappeared. High-performance computing (HPC) contributed ₹248.2 crore in the quarter and private cloud ₹244.8 crore. Chairman and Managing Director Sanjay Lodha linked the AI demand to government bodies and large enterprises treating computing capacity as strategic infrastructure they want kept within India, along with global cloud and data centre operators expanding GPU-heavy capacity here.

Order book, pipeline and a fresh ₹1,200 crore

Visibility for the next few quarters looks decent on paper:

• The order book stood at ₹2,629 crore as of September 30, 2026.
• Netweb holds an additional L1 position (lowest bidder, not yet a firm order) worth ₹652.5 crore.
• Its active pipeline of potential business is ₹11,151.8 crore.

The quarter also included Netweb’s first capital raise since it listed in July 2023, bringing in ₹1,200 crore. At the end of September, the company reported net cash of ₹13.6 crore (shown in its release as net debt of minus ₹136 million).

What investors should keep in mind

Three things stand out to us. First, this is lumpy, project-driven revenue. Large AI and supercomputing orders arrive in big chunks, so one quarter of 335% growth doesn’t set a run rate. Second, the order book of ₹2,629 crore is roughly two quarters of revenue at the current pace, so fresh order wins matter as much as execution. Third, the company’s own comparison against a small base (₹303.7 crore of revenue a year ago) flatters the growth percentages; the sequential 61% jump is the more useful read on momentum.

If you want a framework for reading a results release like this one, our guide on how to analyse the quarterly results of a company walks through revenue, margins and order books step by step. For another set of numbers from the same evening, see our take on Kajaria Ceramics’ Q2 results.

Disclaimer: This article is for information and education only and is not investment advice. Please do your own research or consult a SEBI-registered adviser before making any investment decision.