Nagarro Reports Solid Growth in Audited Financial Results for 2025
Nagarro, a leading global player in digital engineering, has released its audited financial results for the fiscal year 2025, confirming earlier projections and showcasing a solid revenue increase. According to the report, Nagarro's revenue for the year climbed to €999.3 million, a growth of 2.8% from 2024's €972.0 million. When adjusted for currency fluctuations, the revenue growth is even more robust at 6.1%.
The company's gross profit also reflected positive trends, reaching €321.3 million, which represents an 8.6% increase compared to the previous year. This accomplishment resulted in a gross margin enhancement from 30.4% in 2024 to 32.2% in 2025.
While Nagarro celebrated these achievements, there are areas where challenges were encountered. The adjusted EBITDA for 2025 decreased to €138.2 million from €147.5 million in 2024, leading to an adjusted EBITDA margin of 13.8%, slightly below the 15.2% recorded the previous year. The overall EBITDA for the year stood at €118.7 million, also less than the €134.1 million from 2024, indicating a decline driven by several contributing factors.
Notably, Nagarro's EBITDA performance was affected by a non-realized currency loss of €15.5 million linked to intra-group loans, excluding this amount from calculations. Additionally, the EBITDA adjustments included a one-off expense of €12.4 million related to the implementation of new labor laws in India, which introduced increased performance-related obligations due to accrued service time cost adjustments.
On the earnings front, Nagarro posted an EBIT of €83.0 million in 2025, down from €96.7 million in 2024. The company's net income for the year was €39.5 million, showing a decline from €49.2 million in 2024. The number of clients generating over €1 million in annual revenue dropped to 180 from 186 the previous year, a result of several strategically implemented projects transitioning into stable, ongoing managed services contracts.
Cash flow from operations enjoyed a healthy increase, rising to €102.8 million compared to €86.5 million in 2024. Nagarro's liquidity position, however, saw a reduction in cash, amounting to €124.6 million at the end of 2025, a decrease from the €192.6 million reported at the end of the previous year. Financial liabilities were also reduced to €310.1 million in 2025 from €329.6 million in 2024.
In a display of shareholder value commitment, Nagarro bought back shares amounting to €67.8 million in 2025, further reinforcing its long-term value creation strategy. The board intends to recommend a dividend proposal of €1.00 per share at the upcoming general meeting, emphasizing its commitment to returning value to shareholders. As of December 31, 2025, Nagarro employed a workforce of 18,003 employees, solidifying its standing as a robust employer in the digital engineering sector.
Concluding the financial summary for fiscal 2025, Nagarro remains dedicated to driving growth and innovation in the digital landscape, aiming to empower clients in becoming fluidic, digitally-first organizations while remaining steadfast in navigating an evolving business environment. For more information on Nagarro's performance and strategic directions, feel free to visit www.nagarro.com.
The company's gross profit also reflected positive trends, reaching €321.3 million, which represents an 8.6% increase compared to the previous year. This accomplishment resulted in a gross margin enhancement from 30.4% in 2024 to 32.2% in 2025.
While Nagarro celebrated these achievements, there are areas where challenges were encountered. The adjusted EBITDA for 2025 decreased to €138.2 million from €147.5 million in 2024, leading to an adjusted EBITDA margin of 13.8%, slightly below the 15.2% recorded the previous year. The overall EBITDA for the year stood at €118.7 million, also less than the €134.1 million from 2024, indicating a decline driven by several contributing factors.
Notably, Nagarro's EBITDA performance was affected by a non-realized currency loss of €15.5 million linked to intra-group loans, excluding this amount from calculations. Additionally, the EBITDA adjustments included a one-off expense of €12.4 million related to the implementation of new labor laws in India, which introduced increased performance-related obligations due to accrued service time cost adjustments.
On the earnings front, Nagarro posted an EBIT of €83.0 million in 2025, down from €96.7 million in 2024. The company's net income for the year was €39.5 million, showing a decline from €49.2 million in 2024. The number of clients generating over €1 million in annual revenue dropped to 180 from 186 the previous year, a result of several strategically implemented projects transitioning into stable, ongoing managed services contracts.
Cash flow from operations enjoyed a healthy increase, rising to €102.8 million compared to €86.5 million in 2024. Nagarro's liquidity position, however, saw a reduction in cash, amounting to €124.6 million at the end of 2025, a decrease from the €192.6 million reported at the end of the previous year. Financial liabilities were also reduced to €310.1 million in 2025 from €329.6 million in 2024.
In a display of shareholder value commitment, Nagarro bought back shares amounting to €67.8 million in 2025, further reinforcing its long-term value creation strategy. The board intends to recommend a dividend proposal of €1.00 per share at the upcoming general meeting, emphasizing its commitment to returning value to shareholders. As of December 31, 2025, Nagarro employed a workforce of 18,003 employees, solidifying its standing as a robust employer in the digital engineering sector.
Concluding the financial summary for fiscal 2025, Nagarro remains dedicated to driving growth and innovation in the digital landscape, aiming to empower clients in becoming fluidic, digitally-first organizations while remaining steadfast in navigating an evolving business environment. For more information on Nagarro's performance and strategic directions, feel free to visit www.nagarro.com.
Topics Business Technology）
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