Nagarro announces preliminary numbers for FY 2025, guidance for FY 2026, and conclusion of independent investigation
Rhea-AI Summary
Nagarro (OTC: NGRRF) reported preliminary FY2025 results: revenue €999.3m (+2.8% YoY; +6.1% constant currency), gross profit €321.3m (32.2% margin), adjusted EBITDA €138.2m (13.8% margin). FY2026 guidance: revenue €1,000–€1,060m, gross margin ~32%, adjusted EBITDA margin 14.5%–15.5%. An independent investigation found no evidence of fraud or misconduct.
The company repurchased €67.8m in shares, ended 2025 with €124.6m cash, and will publish audited 2025 results on April 29, 2026.
Positive
- FY2026 revenue guidance €1,000–€1,060 million (midpoint ~5% growth)
- Adjusted EBITDA margin guidance of 14.5%–15.5% for FY2026
- Independent investigation concluded no evidence of fraud or misconduct
- Share repurchase of €67.8 million in FY2025
Negative
- EBITDA declined 11.5% YoY in 2025
- EBIT declined 14.2% YoY in 2025
- Cash balance fell from €192.6m to €124.6m (≈35% decline)
- €15.5m unrealized FX loss and €12.4m one-off labour expense reduced 2025 results
News Market Reaction – NGRRF
In the Mar 24 session, NGRRF declined 12.78%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
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Revenue of
2026 revenue expected between
Independent investigation finds no evidence of fraud or misconduct; prior allegations unsubstantiated
2025 EBITDA was impacted by unrealized foreign exchange loss of
2025 EBIT was
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
"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:
2025 (preliminary, | 2024 | Estimated growth (preliminary, | ||||
mEUR | mEUR | |||||
Revenue | 999.3 | 972.0 | ||||
Gross profit | 321.3 | 295.8 | ||||
Gross margin | 32.2 % | 30.4 % | ||||
Adjusted EBITDA | 138.2 | 147.5 | Negative | |||
Adjusted EBITDA margin | 13.8 % | 15.2 % | ||||
EBITDA | 118.7 | 134.0 | Negative | |||
EBIT | 83.0 | 96.7 | Negative | |||
2026 guidance
The company expects FY2026 revenue, calculated at current foreign exchange rates and not including future acquisitions, to be between
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.
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SOURCE Nagarro