Nagarro Reports Q3 2025 Results with 9.4% YoY Revenue Growth at Constant Currency and 27.2% YoY Increase in Adjusted EBITDA; announces the acquisition and repurchase of shares

/PRNewswire/ — Nagarro, a global leader in digital engineering, today presented its unaudited financial data for the third quarter of 2025and published its quarterly financial report.

In the third quarter of 2025, revenue reached 254.6 million euros, an increase of 4.8% year-on-year compared to 242.9 million euros in the third quarter of 2024 and an increase of 9.4% year-on-year at constant exchange rate. Organic revenue growth for the quarter was 3.7% in euros, and 8.2% at constant exchange rates. Gross profit increased to 84.2 million euros in the third quarter of 2025, compared to 76.5 million euros in the third quarter of 2024. Gross margin was 33.1% in the third quarter of 2025, compared to 31.5% in the third quarter of 2024.

Adjusted EBITDA for the third quarter of 2025 reached €44 million (17.3% of revenue) in the third quarter of 2025, compared to €34.6 million (14.3% of revenue) in the third quarter of 2024. EBITDA increased to €43.5 million in the third quarter of 2025, compared to €31.9 million in the third quarter of 2025. quarter of 2024. EBIT increased to 34.9 million euros in the third quarter of 2025, compared to 22.5 million euros in the third quarter of 2024. Net profit increased to 21.4 million euros in the third quarter of 2025, compared to 12.7 million euros in the third quarter of 2024. The number of customers generating more than 1 million euros in revenue Annual business over the last 12 months with Nagarro increased slightly, from 186 as of September 30, 2024 to 187 as of September 30, 2025.

The company recruited 233 additional employees during the third quarter of 2025.

Maintaining the 2025 orientation

The company maintains its forecasts for the year 2025.

Repurchase of own shares and treasury shares

The company has decided today to repurchase 853,688 own shares (75% of the 1,138,251 own shares currently held by the company) and to repurchase up to 450,000 shares within the limit of an overall purchase volume of 20 million euros (excluding additional purchase costs).

Nine-month results

Revenue reached 753.4 million euros in the first nine months of 2025, an increase of 3.9% year-on-year, compared to 725.4 million euros in the first nine months of 2024. Revenue growth at constant exchange rates for the first nine months of 2025 was 6.3%. Year-on-year organic revenue growth for the first nine months of 2025 was 3% in euros, translating into year-on-year organic revenue growth of 5.4% at constant exchange rates. Gross profit increased to 243.5 million euros in the first nine months of 2025, compared to 223.5 million euros in the first nine months of 2024. Gross margin was 32.3% in the first nine months of 2025, compared to 30.8% in the first nine months of 2024.

Despite excellent operational efficiency during the first nine months of 2025, adjusted EBITDA was significantly impacted by the revaluation loss of intra-group loans within the Nagarro Group due to the weakening of the US dollar against the Euro. During the first nine months of 2025, the total impact on adjusted EBITDA of currency revaluation and forward foreign exchange transactions was -€19.7 million.

As a result, adjusted EBITDA for the first nine months of 2025 decreased to €104.8 million (13.9% of revenue) from €109.3 million (15.1% of revenue) for the first nine months of 2024. EBITDA for the first nine months of 2025 increased to €108.5 million from €100.7 million euros for the first nine months of 2024. EBIT for the first nine months of 2025 increased to 82.3 million euros, compared to 72.2 million euros for the first nine months of 2024. Net profit decreased slightly to 41 million euros for the first nine months of 2025, compared to 41.3 million euros for the first nine months of 2024, mainly in due to the negative impact of foreign exchange rates and an increase in income tax expense due to withholding taxes on intra-group dividends paid by subsidiaries to their immediate holding companies. This was offset by an increase in gross margin during the period.

Operating cash inflows in the first nine months of 2025 increased to €77.1 million from €64.9 million in the first nine months of 2024, even as the use of factoring under the non-recourse factoring program was reduced by €7.9 million in the first nine months of 2025 since December 31, 2024. debt recovery period, calculated on the basis of quarterly turnover and including both contractual assets and customer receivables, increased from 88 days as of December 31, 2024 to 85 days as of September 30, 2025.

Nagarro’s cash balance as of September 30, 2025 was 129.4 million euros compared to 192.6 million euros as of December 31, 2024. Nagarro’s loans and borrowings as of September 30, 2025 were 301.2 million euros compared to 329.6 million euros as of December 31, 2024. The company had 17,680 professionals as of September 30, 2025.

The summary table for the three-month period ending September 30, 2025 is as follows:

The summary table for the nine-month period ending September 30, 2025 is as follows:

Nagarro SE will hold its conference call with analysts and investors to discuss the third quarter 2025 financial statements on November 14, 2025 at 1:00 p.m. CET (4:00 a.m. PT / 6:00 a.m. CT / 7:00 a.m. ET / 12:00 p.m. GMT / 4:00 p.m. GST / 5:30 p.m. IST / 8:00 p.m. SGT / 9:00 p.m. JST).

To participate, please register in advance at: https://www.nagarro.com/en/investor-relations/quarterly-statement-call-q3-2025.

About Nagarro

Nagarro, a global leader in digital engineering, helps its clients become fluid, innovative and digitally cutting-edge businesses, and therefore establish themselves 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 17,700 people in 39 countries.

For more information, visit www.nagarro.com.

(FRA: NA9) (SDAX/TecDAX: DE000A3H2200) (ISIN: DE000A3H2200) (WKN A3H220)

For any inquiries, please contact [emailprotected].

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