NIIT (NIITLTD) Q4 25/26 earnings summary

Executive summary

• FY26 revenue grew 9% year-on-year to INR 3,902 million, surpassing guidance, with strong order intake and positive book-to-bill ratio entering FY27.

• Strategic investments in AI, go-to-market capacity, and working professional programs drove growth, despite sectoral headwinds and compressed margins.

• Integration and acquisition of iamneo exceeded expectations, contributing significantly to revenue and EBITDA.

• Launched AI-enabled learning platforms, deep skilling programs, and new AI solutions, with AI representing 8% of Q4 revenue.

• 64 new enterprise clients and 20 new universities/colleges were added in FY26.

Financial highlights

• Q4 FY26 revenue was INR 997 million, up 16% year-on-year; organic revenue (excluding iamneo) was INR 875 million.

• Full-year revenue reached INR 3,902 million, up 9% year-on-year, ahead of 7%-8% guidance; organic revenue was INR 3,489 million.

• Q4 EBITDA was near break-even at INR -0.2 million; full-year EBITDA was INR -40 million, within guided range.

• Full-year PAT was INR 53 million, with EPS of 0.39; both declined sharply from the previous year.

• Cash and cash equivalents stood at INR 7,102 million at year-end.

Outlook and guidance

• Expect double-digit revenue growth year-on-year in Q1 FY27, with breakeven to low-single-digit negative EBITDA margin.

• FY27 guidance indicates stronger revenue growth, improving margins, and continued order intake momentum.

• Macro environment remains challenging with tighter enterprise spending and ROI-linked training budgets.

• AI and cybersecurity are high-priority, talent-constrained areas; reskilling and onboarding for AI roles are strategic priorities.

• Pending merger of NIIT Institute of Finance Banking and Insurance Training Limited and RPS Consulting Private Limited with NIIT Limited will impact future results.