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Nagarro's Q3 2025 Financial Overview

On November 15, 2025, Nagarro unveiled its unaudited financial results for the third quarter of 2025, showcasing significant growth in its revenue and earnings metrics. This leading global digital engineering firm reported a revenue of €254.6 million, reflecting a 4.8% increase from the previous year, with a notable growth rate of 9.4% when adjusted for constant currency.

Revenue and Profit Highlights

The revenue figures for Q3 2025 demonstrate a robust performance compared to Q3 2024, when the company earned €242.9 million. Organic revenue growth stood at 3.7% in euros and 8.2% at constant currency, indicating strong demand for Nagarro's services. The gross profit also saw an upturn, climbing to €84.2 million from €76.5 million year-over-year, representing a gross margin enhancement from 31.5% to 33.1%.

One of the standout aspects of Nagarro’s financials for this quarter is the adjusted EBITDA, which skyrocketed to €44 million, a 27.2% rise compared to €34.6 million in Q3 2024. The adjusted EBITDA margin improved to 17.3% from 14.3%, a clear indicator of increased operational efficiency. At the same time, EBITDA rose by 36.4% from €31.9 million to €43.5 million, and EBIT reflected a similar trend, increasing to €34.9 million from €22.5 million in the same quarter last year.

Increased Net Earnings

Nagarro's net profit for Q3 2025 reached €21.4 million, compared to €12.7 million in Q3 2024, showcasing an impressive growth of 68%. The number of clients generating over €1 million annually has also slightly increased, underlining the firm’s ability to foster significant client relationships.

Strategic Workforce Expansion

Hiring initiatives intensified during Q3 2025, with Nagarro adding 233 new professionals to its workforce and solidifying its position as a key player in digital engineering solutions. As of September 30, 2025, the company’s workforce stood at 17,680, emphasizing its expansive growth strategy in addressing market demands.

Future Outlook and Stock Buyback Announcement

Nagarro maintains its forecast for fiscal year 2025 while confirming an aggressive stock buyback program. The firm has chosen to repurchase 853,688 shares of its own stock and plans to acquire an additional 450,000 shares, totaling an investment of €20 million. This strategic decision reflects Nagarro’s commitment to enhancing shareholder value amid continuing business growth.

Nine-Month Performance Summary

For the nine months ending September 30, 2025, Nagarro reported a total revenue of €753.4 million, reflecting a 3.9% year-over-year increase, with constant currency growth reaching 6.3%. However, the adjusted EBITDA witnessed a decline to €104.8 million, attributed to foreign exchange effects and the revaluation of intra-group loans, marking a decrease from €109.3 million the previous year.

Despite these challenges, the overall EBITDA for the nine months grew to €108.5 million, indicating resilience in core operations. The net profit for this period remained relatively stable at €41 million, slightly down from €41.3 million in 2024, primarily due to currency fluctuations.

Conclusion

Nagarro continues to exhibit strength and adaptability within the digital engineering sector, making substantial strides in both revenue and earnings. The strategic focus on workforce expansion and shareholder engagement through stock buybacks signifies a proactive approach to sustaining growth and enhancing stakeholder relationships moving forward.