Nagarro SE

Revenue of €999 million (+2.8%) represents 6.1% constant currency growth; gross profit was €321 million (+8.6%); Adjusted EBITDA margin of 13.8% is within forecast range

2026 revenue expected between €1,000 and €1,060 million at current FX rates, gross margin near 32%, Adjusted EBITDA margin between 14.5% and 15.5%

Independent investigation finds no evidence of fraud or misconduct; prior allegations unsubstantiated

MUNICH, March 24, 2026 /PRNewswire/ -- Based on preliminary figures for the 2025 financial year, Nagarro's revenue grew to €999.3 million in 2025, up from €972.0 million in 2024, representing YoY growth of 2.8%. The constant currency growth in annual revenue was 6.1%. Gross profit in 2025 grew to €321.3 million (32.2% gross margin), up from €295.8 million (30.4% gross margin) in 2024. Adjusted EBITDA declined to €138.2 million in 2025 from €147.5 million in 2024. Adjusted EBITDA margin was 13.8% in 2025, thus within the revised guidance of 13.5% to 14.5%, and declined from 15.2% in 2024. EBITDA was €118.7 million in 2025, down from €134.0 million in 2024.

2025 EBITDA was impacted by unrealized foreign exchange loss of €15.5 million on intra-group loans within Nagarro group; this amount was not adjusted. One-off items incorporated in the adjustment to EBITDA include a one-time expense of €12.4 million related to the implementation of the New Labour Codes in India, which have increased the defined benefit obligations from past service costs.

2025 EBIT was €83.0 million, down from €96.7 million in 2024. Nagarro's cash balance at the end of 2025 was €124.6 million as against €192.6 million at the end of 2024. The company repurchased 919,421 shares during FY2025 for a total of €67.8 million. The company reported 18,003 professionals as of December 31, 2025.

Manas Human, co-founder and CEO, said, "Taking into account the impact of the US dollar against the Euro, our underlying performance remains aligned with our expectations. Using the exchange rates prevailing at the time of our initial 2025 guidance, full year revenue would be approximately at the midpoint of our €1,020 and €1,080 million range. Adjusted EBITDA, excluding the €15.5 million unrealized foreign exchange impact on intra-group loans, would be approximately €153.7 million, placing us towards the higher end of our guided Adjusted EBITDA margin range of 14.5%-15.5%. The company continues to perform well despite a challenging demand environment."

"As we move into 2026, we are redefining the company around Fluidic Intelligence: a new operating paradigm that unites human and AI collaboration at the team level, fluid knowledge at the technology level, and seamless information flow across the enterprises we serve. We are excited to be building the framework in which the next generations of intelligent organizations will operate over the years to come."

Nagarro plans to publish its audited annual report for 2025 on April 29, 2026.

The summary of the 2025 preliminary numbers is as follows:

2026 guidance

The company expects FY2026 revenue, calculated at current foreign exchange rates and not including future acquisitions, to be between €1,000 million and €1,060 million. At the mid-point, this corresponds to an increase of approximately 5% over 2025 local revenues translated to Euro at current foreign exchange rates. The gross margin for FY 2026 is likely to be in the region of 32%, and the adjusted EBITDA margin is likely to be between 14.5% and 15.5%.

The company continues to monitor the evolving geopolitical and macroeconomic environment, which may have an impact on customer decision-making.

Independent investigation findings

Following historical external allegations regarding fraud, the Supervisory and Management Boards jointly mandated White & Case, with support from Alvarez & Marsal, to conduct an independent investigation into those allegations. The Supervisory Board maintained close oversight throughout the process, ensuring full cooperation from the company and unrestricted access to relevant information. The investigation included an extensive document and e-discovery review, forensic analysis, multiple rounds of interviews across key functions and geographies, and site visits.

None of the allegations raised in prior media reporting or short-seller commentary were substantiated, and no evidence of fraud or misconduct was found.

The process did highlight certain structural, governance, and documentation areas for enhancement. The company is addressing these, building on measures already underway, and views this process as an acceleration of its transition towards a more institutionalized governance framework aligned with the expectations of global capital markets.

Christian Bacherl, Chairperson of Nagarro's Supervisory Board said, "Today's announcement of the outcome of the independent investigation into company practices is an important milestone for Nagarro. The conclusions are clear: no misconduct or fraud was identified. While we have already taken steps to improve governance and processes, including appointing KPMG as auditor, strengthening our finance, accounting and risk departments, and enhancing the Supervisory Board and Audit Committee, we are acting with discipline to further strengthen them in line with the observations made by the investigators. The Supervisory Board would like to thank White & Case and Alvarez & Marsal for their diligent work, as well as the colleagues at Nagarro for their transparent cooperation with the investigators."

About Nagarro

Nagarro, a global digital engineering leader, helps clients become fluidic, innovative, digital-first companies and thus win in their markets. The company is distinguished by its entrepreneurial, agile, and global character, its CARING mindset, and its Fluidic Intelligence vision. Nagarro employs around 18,000 people in 38 countries. For more information, please visit www.nagarro.com.

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

For inquiries, please contact press@nagarro.com.

Logo: https://mma.prnewswire.com/media/844192/3850575/Nagarro_Logo.jpg

View original content:https://www.prnewswire.co.uk/news-releases/nagarro-announces-preliminary-numbers-for-fy-2025-guidance-for-fy-2026-and-conclusion-of-independent-investigation-302723084.html

MUNICH, Aug. 14, 2025 /PRNewswire/ -- Nagarro, a global digital engineering leader, today presented its unaudited financial numbers for Q2 2025 and released its half-yearly financial report. 

In Q2 2025, revenue grew to €252.0 million, up 3.2% YoY from €244.1 million in Q2 2024. Constant currency YoY revenue growth for Q2 2025 was 4.7%. Organic YoY revenue growth for the quarter was 3.8% in constant currency, which translated to 2.4% organic YoY revenue growth in Euro terms. Gross profit grew to €83.7 million in Q2 2025 from €73.3 million in Q2 2024. Gross margin was 33.2% in Q2 2025, against 30.0% in Q2 2024.

Despite excellent operational efficiency in Q1 and Q2 2025, Adjusted EBITDA was significantly impacted by the revaluation loss on inter-company loans from Nagarro SE and its cash holdings due to the weakening of the US dollar against the Euro. Across Q1 and Q2 2025, the total impact on Adjusted EBITDA of currency revaluation plus foreign exchange forward transactions was a negative €18.0 million.

Consequently, Adjusted EBITDA for Q2 2025 was €30.5 million (12.1% of revenue), against €35.5 million (14.5% of revenue) in Q2 2024. EBITDA declined to €32.0 million in Q2 2025, from €32.8 million in Q2 2024. EBIT grew marginally to €23.4 million in Q2 2025, from €23.1 million in Q2 2024. Net profit declined to €8.3 million in Q2 2025 against €12.0 million in Q2 2024 mainly due to increase in income tax expense on account of withholding taxes on inter-company dividends remitted by downstream subsidiaries to their immediate holding companies. The number of clients doing more than €1 million in annual revenue in the last 12 months with Nagarro rose from 184 on June 30, 2024 to 188 on June 30, 2025.

A dividend of €1.00 per share amounting to €12.6 million (13.1% of 2024 EBIT) has been declared during the Annual General Meeting held on June 30, 2025.

H1 results

Revenue grew to €498.9 million in H1 2025, up 3.4% YoY from €482.4 million in H1 2024. Constant currency revenue growth for H1 2025 was 3.6%. Organic YoY revenue growth for H1 2025 was 2.8% in constant currency, which translated to 2.6% organic YoY revenue growth in Euro terms. Gross profit grew to €159.3 million in H1 2025 from €146.9 million in H1 2024. Gross margin was 31.9% in H1 2025, against 30.5% in H1 2024.

Adjusted EBITDA was €60.8 million (12.2% of revenue) in H1 2025, against €74.7 million (15.5% of revenue) in H1 2024. EBITDA declined to €65.0 million in H1 2025 from €68.8 million in H1 2024. EBIT declined to €47.5 million in H1 2025 from €49.7 million in H1 2024. Net profit declined to €19.6 million in H1 2025 against €28.6 million in H1 2024 mainly due to increase in income tax expense on account of withholding taxes on inter-company dividends remitted by downstream subsidiaries to their immediate holding companies.

Operating cash inflow in H1 2025 declined to €26.1 million from €27.6 million in H1 2024, even while factoring utilization under the non-recourse factoring program was reduced by €8.5 million in H1 2025 from December 31, 2024. Days of sales outstanding, calculated based on the quarterly revenue and including both contract assets and trade receivables, has improved from 88 days on December 31, 2024 to 85 days on June 30, 2025.

Nagarro's cash balance at the end of June 30, 2025 was €121.8 million as against €192.6 million at the end of December 31, 2024. Nagarro's loans and borrowings at the end of June 30, 2025, were €300.7 million as against €329.6 million at the end of December 31, 2024. The company reported 17,447 professionals as of June 30, 2025.

The summarized table for the three-months period ended June 30, 2025 is as follows:

The summarized table for the six-months period ended June 30, 2025 is as follows:

Supervisory Board committees

The committees of Nagarro's Supervisory Board have been freshly reconstituted. Martin Enderle, Chair of the Supervisory Board, is also the Chair of the Nomination & Remuneration Committee. Until recently he was Chair of the Supervisory Board of Delivery Hero. Hans-Paul Buerkner, who was previously global CEO and Chairman of BCG, is the Chair of the Strategy Committee. Jack Clemons, who was global CEO of Bata and has been on various other boards, including being Chair of the Audit and Risk Committee of the Worldwide Fund for Nature (WWF), is Chair of the Audit Committee.

Update on guidance

On January 23, 2025, we had projected Nagarro's revenue for 2025 to be between €1,020 and €1,080 million, when calculated at the currency exchange rates then prevailing. We now expect Nagarro's revenue for 2025 to come near the lower end of that guidance. We targeted gross margin in the region of 30%, as compared to 30.4% in 2024. We hold to this expectation of gross margin. We targeted the Adjusted EBITDA margin to be between 14.5% and 15.5%, compared to 15.2% in 2024. Despite strong underlying operational performance of the company, the revaluation loss on inter-company loans and cash holdings because of the weakening of the US dollar against the Euro is currently expected to lead the Adjusted EBITDA margin to be between 13.5% and 14.5%.

Nagarro SE will hold its analyst and investors meeting as a video call to discuss the half-yearly financial report 2025 on August 14, 2025, 1:00 pm CEST (4:00 am PT / 6:00 am CT / 7:00 am ET / 12:00 pm BST / 3:00 pm GST / 4:30 pm IST / 7:00 pm SGT / 8:00 pm JST).

Nagarro SE will hold its retail investors call to discuss the half-yearly financial report 2025 on August 14, 2025, at 2:30 pm CEST (5:30 am PT / 7:30 am CT / 8:30 am ET / 1:30 pm BST / 4:30 pm GST / 6:00 pm IST / 8:30 pm SGT / 9:30 pm JST).

To attend, please register in advance at https://www.nagarro.com/en/investor-relations/half-yearly-q2-statements-call-2025.

About Nagarro

Nagarro, a global digital engineering leader, helps clients become fluidic, innovative, digital-first companies and thus win in their markets. The company is distinguished by its entrepreneurial, agile, and global character, its CARING mindset, and its Fluidic Enterprise vision. Nagarro employs around 17,400 people in 39 countries.

For more information, visit www.nagarro.com.

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

For inquiries, please contact press@nagarro.com.

Logo: https://mma.prnewswire.com/media/844192/3850575/Nagarro_Logo.jpg

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