E2E Networks reported a net profit of ₹43.9 Cr in Q1 FY27, reversing a net loss of ₹2.8 Cr in the same quarter last year. The swing was driven by a sharp jump in operating revenue, which rose 3.3X year-on-year and 64% quarter-on-quarter to ₹156.8 Cr, as demand for the company's AI cloud infrastructure climbed.
Sequentially, profit rose 6X from ₹6.4 Cr in the previous quarter. Including other income of ₹11.4 Cr, total income for the quarter stood at ₹168.2 Cr. Total expenses doubled year-on-year to ₹109.6 Cr. The company reported EBITDA of ₹117.9 Cr, with an EBITDA margin of 75.2%.
What changed: a new GPU cluster went live
During the quarter, E2E Networks operationalised its NVIDIA B200 cluster, built on NVIDIA-certified HGX B200 systems interconnected through InfiniBand high-speed networking and following NVIDIA's validated reference architecture. The cluster is designed to train and deploy large AI models. With the deployment, the company's GPU infrastructure expanded to around 5,100 GPUs.
"Q1 FY27 marks another significant quarter for E2E Networks… The B200 cluster went live within the quarter, and utilisation across our GPU fleet remains strong, reflecting robust demand from AI ecosystem. We remain focused on aggressive and judicious capacity expansion through the rest of FY27," E2E Networks said in a statement.
Why it matters for India's AI cloud market
The results land amid rising demand for AI infrastructure in India, with enterprises, startups and research institutions increasingly investing in GPU computing capacity to build and deploy generative AI applications. E2E Networks positions itself as a domestic alternative to global hyperscalers such as Amazon Web Services (AWS) and Google Cloud for AI workloads.
Company background and listing history
E2E Networks was founded in 2009 by Tarun Dua. The company offers GPU computing infrastructure, AI/ML cloud services and managed hosting. It listed on the NSE Emerge platform in 2018 at an IPO price of ₹57 per share, before migrating to the NSE mainboard in 2022. It also debuted on the BSE mainboard in June this year after receiving approval for the direct listing of 20.56 Cr equity shares.
Stock performance
Investor sentiment has remained strong around the stock. E2E Networks shares hit an all-time high of ₹469 on June 23. The stock ended the trading session referenced in the source locked in the 5% upper circuit at ₹446.65.
The quarter's numbers suggest that domestic GPU capacity — not just AI software — is becoming a real revenue line in India's cloud market. Whether the margin holds as the company scales its GPU fleet further through FY27 is the next thing to watch.
