NETWEB TECHNOLOGIES INDIA LTD FUNDAMENTAL RESEARCH REPORT

Netweb Technologies (NSE: NETWEB, BSE: 543945; listed Jul-2023, NIFTY Smallcap 100) is an Indian-owned OEM of high-endcomputing systems . It designs, builds (Faridabad) and deploys AI servers, supercomputers (HPC) and private-cloud appliancesunder the Tyrone brand, as a partner of Nvidia, AMD, Intel and Samsung. In Q1 FY27, AI systems were 62% of revenue, privatecloud 17% and HPC 15%. Customers include IITs, ISRO, RailTel, Infosys, TCS, Yotta and Zoho (CRISIL). Promoters (the Lodhafamily) hold 66.98% (Jun-26) and have pledged nothing . After the Aug-26 QIP there are 5,94,45,906 shares of Rs 2 (market capRs 29,730 Cr). Event 1 - a step change in size. Revenue was Rs 1,149 Cr in FY25 and Rs 2,184 Cr in FY26 (+90%) . Q1 FY27 was Rs 820 Cr(+172%) with PAT Rs 85 Cr (+180%) and EBITDA margin 14.7%. Part of this is a Rs 1,600 Cr "strategic" AI order (about Rs 430Cr of it was executed in Q1). At Jun-26 the order book was Rs 2,507 Cr plus Rs 848 Cr L1 (won, not yet signed), executed in 16-20 weeks, and the pipeline was Rs 10,410 Cr (management: ~60% converts in 18-24 months). Event 2 - growth is eating cash.