NPST Q2 revenue rises 45% as consolidated profit gains 34%

Network People Services Technologies Limited reported consolidated revenue from operations of Rs 67.74 crore for the quarter ended September 30, 2026, up 45% from Rs 46.68 crore a year earlier, while profit after tax rose 34% to Rs 13.22 crore. The consolidated result included financial information from its UAE subsidiary.

How did NPST perform in the September 2026 quarter?

NPST recorded revenue from operations of Rs 67.74 crore in the quarter ended September 30, 2026, compared with Rs 46.68 crore in the quarter ended September 30, 2025 and Rs 56.48 crore in the quarter ended June 30, 2026. Revenue increased by Rs 21.06 crore year on year and by Rs 11.26 crore sequentially.

Total income reached Rs 72.95 crore, against Rs 48.67 crore a year earlier and Rs 61.42 crore in the preceding quarter. Other income was Rs 5.21 crore in the September 2026 quarter, compared with Rs 2 crore in the September 2025 quarter, adding Rs 3.21 crore to the year-on-year change in total income.

NPST's profit after tax rose by Rs 3.38 crore from the year-earlier quarter and by Rs 2.17 crore from the June 2026 quarter. Basic and diluted earnings per share were Rs 6.34 in the September 2026 quarter, versus basic earnings per share of Rs 5 and diluted earnings per share of Rs 4.40 in the September 2025 quarter.

What changed in NPST's costs and profitability?

NPST reported total expenses of Rs 56.01 crore for the September 2026 quarter, compared with Rs 35.18 crore a year earlier and Rs 46.93 crore in the June 2026 quarter. The Rs 20.83 crore year-on-year expense increase was lower than the Rs 24.28 crore rise in total income, and profit before tax increased to Rs 16.94 crore from Rs 13.49 crore.

The changes in inventories of finished goods, work in progress and stock-in-trade line was Rs 27.78 crore, compared with Rs 0.01 crore in the September 2025 quarter. Project expense fell to Rs 10.48 crore from Rs 19.35 crore, while employee-benefit expense declined to Rs 9.83 crore from Rs 10.56 crore.

Depreciation and amortisation increased to Rs 4.09 crore from Rs 1.98 crore, whereas finance costs were unchanged at Rs 0.17 crore in both September quarters. Tax expense was Rs 3.72 crore versus Rs 3.65 crore a year earlier, resulting in a 34% increase in post-tax profit compared with a 26% increase in profit before tax.

How much did NPST's overseas subsidiary report?

NPST's UAE subsidiary reported revenue of Rs 23.96 crore for the quarter ended September 30, 2026 and Rs 30.60 crore for the half year ended on that date, according to the independent auditor's review report. It reported profit after tax of Rs 3.17 crore for the quarter and Rs 3.71 crore for the half year.

The quarterly revenue reported for the UAE subsidiary was equivalent to about 35% of NPST's Rs 67.74 crore consolidated revenue from operations. Its reported quarterly profit was equivalent to about 24% of the group's Rs 13.22 crore profit after tax, although the filing does not provide a segment reconciliation or intra-group elimination details that would establish a direct contribution to consolidated profit.

The auditor said the overseas subsidiary's financial information was prepared under accounting principles applicable in its country of incorporation and reviewed by another auditor. NPST management converted that information to Indian accounting principles, while two other subsidiaries with combined assets of Rs 6.13 crore at September 30, 2026 were described as not material to the group.

What do NPST's half-year results and cash flow show?

NPST's revenue from operations for the half year ended September 30, 2026 was Rs 124.22 crore, compared with Rs 80.30 crore in the year-earlier half. Profit after tax increased to Rs 24.27 crore from Rs 17.05 crore, while total income rose to Rs 134.37 crore from Rs 83.76 crore.

Net cash used in operating activities was Rs 15.91 crore in the six months ended September 30, 2026, compared with Rs 7.77 crore used in the year-earlier period. The cash-flow statement recorded a Rs 37.64 crore increase in other current assets, a Rs 16.42 crore decrease in trade payables and a Rs 3.63 crore increase in inventories, partly offset by a Rs 10.99 crore decrease in trade receivables.

Investing activities used Rs 195.36 crore, compared with Rs 41.57 crore in the previous year's half, including Rs 177.24 crore placed in bank balances other than cash and cash equivalents. Cash and cash equivalents were Rs 59.05 crore at September 30, 2026, down from Rs 277.38 crore at March 31, 2026, while other bank balances increased to Rs 209.24 crore from Rs 32 crore.

What was NPST's balance-sheet position and fund use?

NPST reported total assets of Rs 513.29 crore at September 30, 2026, compared with Rs 508.26 crore at March 31, 2026. Total equity increased to Rs 461.30 crore from Rs 441.20 crore, while total liabilities declined to Rs 51.99 crore from Rs 67.06 crore.

Trade receivables declined to Rs 93.32 crore from Rs 104.32 crore over the six months to September 30, 2026. Inventories increased to Rs 4.51 crore from Rs 0.88 crore, and intangible assets under development rose to Rs 29.55 crore from Rs 25.48 crore.

NPST had used Rs 56.5186 crore of the Rs 300.0041 crore raised through the preferential allotment of September 5, 2025, as of September 30, 2026. The disclosed utilisation included Rs 11.1931 crore for global expansion and brand building, Rs 21.9602 crore for product development, infrastructure enhancement and strategic acquisition, and Rs 23.3653 crore for general corporate purposes and fund-raising costs; NPST reported no deviation or variation in use of the proceeds.

Conclusion

NPST's September 2026 quarter combined a 45% increase in revenue from operations with a 34% rise in profit after tax. The year-on-year result reflected higher total income of Rs 72.95 crore, lower project expense than the comparable quarter and reported revenue of Rs 23.96 crore from the UAE subsidiary, alongside higher inventory-related charges and depreciation.

The next disclosures will show whether NPST sustains its Rs 124.22 crore first-half revenue run rate and how working-capital movements affect cash generation after Rs 15.91 crore of operating cash outflow in the half year. NPST also has Rs 243.4855 crore of preferential-allotment proceeds not yet utilised against the Rs 300.0041 crore raised, based on the September 30, 2026 disclosure.