Netweb Technologies share price locked at 5% upper circuit after robust Q4 results

Netweb Technologies share price was locked at 5% upper circuit at ₹1,765.40 apiece on the BSE Thursday after the company reported strong earnings for the quarter ended March 2024.

Netweb Technologies India’s net profit in the fourth quarter of FY24 jumped 181.8% to ₹29.66 crore from ₹10.52 crore in the year-ago quarter.

The company’s revenue from operations in Q4FY24 increased 115.48% to ₹265.80 crore from ₹123.39 crore, YoY.

The operating performance of the computer server maker also improved as it reported its highest ever quarterly EBITDA of ₹44.4 crore, up 170.6% YoY, with EBITDA margins at 16.4% in Q4.

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“Our company has achieved its highest-ever quarterly and annual income and profits. As stated earlier, AI systems is now clearly progressing towards becoming the third pillar of our growth. This is reflected by its revenue growing 2.6 times YoY, while its contribution to the company’s total revenue has grown from 7% in FY23 to 11% in FY24, underscoring its importance as a significant revenue stream,” said Sanjay Lodha, Chairman and Managing Director, Netweb Technologies.

The Board of Directors of Netweb Technologies have recommended a dividend of ₹2 per share.

For financial year 2023-24, Netweb Technologies reported a topline growth of 65.1% YoY to ₹735.96 crore, with its net profit rising 61.7% YoY to ₹75.9 crore. 

The company’s order book stood at ₹411.2 crore as of March 31, 2024. It has onboarded 171 new clients in FY24, it said.

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Netweb Technologies shares made a stock market debut in July 2023. The company had raised ₹631 crore from its initial public offering (IPO) by selling shares at a price band of ₹475 to ₹500 apiece. Netweb Technologies stock price was listed at ₹947 per share.

In just nine months of listing, Netweb Technologies share price has jumped over 253% from its IPO price. The stock is up more than 86% from its listing price.

At 1:00 pm, Netweb Technologies shares were at 5% upper circuit at ₹1765.40 apiece on the BSE, with its market capitalisation hitting ₹9,950 crore.

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