/PRNewswire/ — Nagarro, a global leader in AI transformation and engineering, today reported its unaudited financial data for the first quarter of 2026and published its quarterly financial report.
In the first quarter of 2026, revenue increased to €248.1 million, up 0.9% from €245.9 million in the fourth quarter of 2025 and up 1.2% quarter-on-quarter at constant exchange rates. Revenue increased 0.5% year-on-year from 246.9 million euros in the first quarter of 2025 and 6.5% year-on-year at constant currency, while organic revenue growth fell 1.1% year-on-year in euros, but increased 4.8% year-on-year at constant currency. Gross profit increased to 77.4 million euros in the first quarter of 2026, compared to 75.5 million euros in the first quarter of 2025. Gross margin increased from 30.6% in the first quarter of 2025 to 31.2% in the first quarter of 2026. Adjusted EBITDA increased by 1.0 million euros, from 30.2 million euros (12.2% of turnover) in the first quarter of 2025 to 31.2 million euros (12.6% of turnover) in the first quarter of 2026.
EBITDA increased by 5.7 million euros from 33.0 million euros in the first quarter of 2025 to 38.8 million euros in the first quarter of 2026, mainly due to a relative increase in income from the cancellation of the cost of share-based payment arrangements of 4.1 million euros, which was adjusted for the calculation of adjusted EBITDA. EBIT increased by 5.9 million euros from 24.1 million euros in the first quarter of 2025 to 30.0 million euros in the first quarter of 2026. Net profit increased by 7.9 million euros to 19.2 million euros in the first quarter of 2026 from 11.2 million euros in the first quarter of 2025. The number of customers generating more than €1 million in revenue over the last 12 months was 179 in the first quarter of 2026, down from 186 in the first quarter of 2025, as several implementation-driven programs were successfully completed and converted into stable, recurring managed services engagements.
Operating cash flow in the first quarter of 2026 decreased to -€0.3million from €37.5million in the first quarter of 2025, mainly due to a relative increase in working capital of €32.4million. The use of factoring under the non-recourse factoring program decreased slightly by 0.2 million euros in the first quarter of 2026, compared to the first quarter of 2025. The receivables collection period, calculated on the basis of quarterly turnover and including both contract assets and trade receivables, decreased from 82 days as of December 31, 2025 to 86 days as of March 31, 2026.
Nagarro’s cash balance as of March 31, 2026 was €112.6 million compared to €124.6 million as of December 31, 2025. Nagarro’s loans and borrowings as of March 31, 2026 amounted to 310.9 million euros compared to 310.1 million euros as of December 31, 2025. The company added 540 professionals (net) to its workforce in the first quarter of 2026 to reach 18,543.
Manas Human, co-founder and CEO of Nagarro, said: “Our first quarter growth, year-over-year, was in line with expectations. We are growing as an AI transformation and engineering company, and strengthening our consulting capabilities to be a trusted partner for our clients’ AI transformation.
The summary of unaudited figures for the first quarter of 2026 is as follows:
|
T1 |
T1 |
Growth |
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|
BRANCH |
BRANCH |
|||||
|
Turnover |
248,1 |
246,9 |
0.5% year-on-year |
|||
|
Gross profit |
77,4 |
75,5 |
2.4% year-on-year |
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|
Gross margin |
31,2% |
30,6% |
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|
EBITDA period |
31,2 |
30,2 |
3.3% year-on-year |
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|
Adjusted EBITDA margin |
12,6% |
12,2% |
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|
EBITDA |
38,8 |
33,0 |
17.4% year-on-year |
|||
|
EBIT |
30,0 |
24,1 |
24.6% year-on-year |
|||
|
Bénéfice net |
19,2 |
11,2 |
70.7% year-on-year |
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NagarroSE will hold its Q1 2026 earnings conference call on May 15, 2026 at 1:00 p.m. CEST (04:00 PT / 06:00 CT / 07:00 ET / 12:00 BST / 15:00 GST / 16:30 IST / 19:00 SGT / 20:00 JST).
To participate, please register in advance at: https://www.nagarro.com/en/investor-relations/quarterly-statement-call-q1-2026.
About Nagarro
Nagarro, a global leader in AI transformation and engineering, helps clients become agile, innovative, AI-driven businesses and win in their markets. The company stands out for its entrepreneurial, flexible and global character, its caring state of mind (CARING) and its vision of fluid intelligence. Nagarro employs approximately 18,500 people in 40 countries. For more information, please visit www.nagarro.com.
(FRA: NA9) (SDAX/TecDAX) (ISIN: DE000A3H2200) (WKNA3H220)
For any inquiries, please contact [emailprotected].
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