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Synopsis : Netweb Technologies saw a surge in stock prices after its strong Q4 performance. With significant growth in income and new clients, it's expanding its technological capabilities.
On Thursday, shares of Netweb Technologies soared by 5% to reach Rs 1,765.40, with the company's market capitalization hitting Rs 9,950 crore. This surge came as the company's shares hit the upper circuit following a strong performance in the March 2024 quarter. Netweb Technologies reported a nearly three-fold increase in net profit to Rs 29.66 crore, fueled by a surge in demand for AI solutions. Revenue from operations also saw a significant rise of 115.48% to reach Rs 265.80 crore, while the quarterly Ebitda reached an all-time high of Rs 44.4 crore, marking a 170.6% YoY increase. Following these positive earnings, the company's shares rose by 5% to lock in the upper circuit limit at Rs 1,765.40 on Thursday.
Netweb Technologies debuted on the stock market in July 2023, generating Rs 631 crore through its initial offering at Rs 500 per share. Since then, its stock has surged by over 250% in just nine months. In the fiscal year 2023-24, the company saw remarkable growth, with total income increasing by 65.1% to Rs 736 crore, and net profit rising by 61.7% to Rs 75.9 crore. Netweb's Ebitda for FY24 reached Rs 114.4 crore, marking a 61.8% year-on-year increase, with Ebitda margins at 15.5% for the entire fiscal.
As of March 31, 2024, the company's order book amounted to Rs 411.2 crore. Additionally, it is expanding its operations with the introduction of its latest surface mount technology facility, scheduled for commissioning in the first quarter of FY25. Throughout FY24, the company successfully onboarded 171 new clients, while witnessing a remarkable 2.6-fold increase in income from AI systems, now constituting over 11% of its operating income.
Netweb Technologies specializes in designing, manufacturing, and implementing HCS, which includes proprietary middleware solutions, end-user utilities, and a precompiled application stack. The company also develops its own compute and storage technologies, alongside deploying supercomputing infrastructure, catering to the diverse needs of businesses, academia, and research organizations.
Related Questions
1. What led to the surge in Netweb Technologies' stock prices?
The surge in Netweb Technologies' stock prices was driven by its strong Q4 performance, which included a nearly three-fold increase in net profit, significant revenue growth, and an all-time high quarterly Ebitda.
2. What were the key financial highlights of Netweb Technologies' Q4 results?
The key financial highlights of Netweb Technologies' Q4 results include a nearly three-fold increase in net profit, significant revenue growth of 115.48%, and an all-time high quarterly Ebitda.
3. What was the stock performance of Netweb Technologies since its debut on the stock market?
Since its debut on the stock market in July 2023, Netweb Technologies' stock has surged by over 250% in just nine months.
4. What were the key growth metrics for Netweb Technologies in FY24?
In FY24, Netweb Technologies saw remarkable growth, with total income increasing by 65.1%, net profit rising by 61.7%, and Ebitda increasing by 61.8% year-on-year.
5. What expansions and developments is Netweb Technologies undertaking?
Netweb Technologies is expanding its operations with the introduction of its latest surface mount technology facility, scheduled for commissioning in the first quarter of FY25. Additionally, it successfully onboarded 171 new clients in FY24 and witnessed a remarkable 2.6-fold increase in income from AI systems.
