Netweb Tech shares fall up to 5% despite strong Q2 results as global AI sell-off weighs; E2E falls for 7th sessionn

The company's consolidated profit after tax (PAT) jumped to Rs 136.7 crore in the second quarter ended September 30, 2026, from Rs 31.4 crore in the year-ago period, driven by demand for AI infrastructure. Revenue from operations rose to Rs 1,323.3 crore in the September quarter from Rs 303.7 crore in the corresponding period last year. The company reported an order book of Rs 2,629 crore at the end of the quarter.

"We are pleased to report that Q2 FY27 has been another record quarter for Netweb Technologies, with our highest-ever quarterly Revenue from Operations and Profit After Tax," Netweb Technologies Chairman and Managing Director Sanjay Lodha said in a statement. He said the company's PAT for the first half of the current fiscal year reached Rs 222 crore, surpassing its full-year FY26 PAT of Rs 205.8 crore in six months.

AI systems remained the primary growth driver, contributing Rs 773.1 crore, or 58.4 per cent, of revenue from operations, Lodha said. High-performance computing (HPC) and private cloud contributed Rs 248.2 crore and Rs 244.8 crore, respectively, to the company's revenue. As of September 30, 2026, the company had an order book of Rs 2,629 crore, along with an additional L1 position of Rs 652.5 crore, providing revenue visibility for the coming quarters, Lodha said.

Meanwhile, shares of E2E Networks hit the 5 per cent lower circuit at Rs 537.75 on the NSE, extending their decline to a seventh consecutive session. Globally, AI-linked stocks came under pressure after Meta's earnings report revived concerns over heavy capital spending on artificial intelligence. The shift in investor sentiment towards AI-related expenditure has added to market volatility, while prompting investors to move towards the safety of US Treasuries.