#Germany #Munich #revenue growth #Nagarro #FY 2024

Nagarro's Financial Performance for FY 2024

Nagarro, a prominent global leader in digital engineering, recently revealed its preliminary unaudited financial figures for the fiscal year ending December 31, 2024. The results indicate a significant increase in revenue, amounting to €972 million, up from €912.1 million in 2023, marking a growth of 6.6% year-over-year. This impressive growth rate becomes even more noteworthy when considering a constant currency scenario, where it stands at 7.2%.

Key Financial Metrics

The financial metrics highlight Nagarro's robust performance:

• - Revenue: €972 million (2024) vs. €912.1 million (2023)
• - Gross Margin: €295.8 million representing a 30.4% gross margin utilizing the new cost method, an improvement from previous metrics, compared to €235.7 million and a 25.8% margin in 2023.
• - Adjusted EBITDA: For 2024, €146.5 million, up from €126.1 million in the previous year, signifying a notable increase of 16.2%.
• - Adjusted EBITDA Margin: Improved to 15.1% from 13.8% in 2023.

These figures reflect Nagarro's strategic adjustments in revenue accounting practices beginning in the first quarter of 2024, realigning its definitions to better match industry standards.

Financial Position

By year-end 2024, Nagarro's cash position was solid, with €192.6 million compared to €110.1 million at the end of 2023. However, liabilities also increased, with total borrowings rising to €329.6 million from €274.7 million in the prior year.

The company's workforce also expanded, reaching a total of 17,695 employees by December 31, 2024. This growth not only highlights Nagarro's demand in the industry but also its commitment to enhancing its team for sustainable growth.

Leadership Insights

Vikram Sehgal, Nagarro's Chief Operating Officer and co-founder, expressed his satisfaction with the company’s performance, stating, “We are pleased to have achieved a strong 2024 despite macroeconomic headwinds, and we are off to a good start in 2025. We are also proud of the various changes we are implementing to ensure reliable and profitable growth in the years to come.”

Looking ahead, Nagarro is scheduled to publish its audited annual report for 2024 along with its non-audited quarterly report for the first quarter of 2025 on May 15, 2025. These upcoming reports will provide further insights into the company’s strategies and expectations moving forward.

Conclusion

Nagarro's financial results not only underscore its resilience and adaptability amid a challenging economic landscape but also reflect its ongoing commitment to innovation and growth in digital engineering. As the company aligns itself with industry best practices and expands its talent pool, it sets a promising path for sustained success in the booming digital transformation sector.