Aeries Technology(AERT) - 2025 Q3 - Quarterly Results

Financial Performance - Revenue for Q2 FY2026 was $17.36 million, representing a 3% increase year-over-year from $16.87 million in Q2 FY2025[5] - Net income for Q2 FY2026 was $0.64 million, a significant improvement from a net loss of $2.31 million in Q2 FY2025[5] - Adjusted EBITDA for Q2 FY2026 was $2.55 million with a margin of 14.7%, compared to a loss of $(2.30) million in Q2 FY2025[5] - The first half of FY2026 marked the strongest performance in the company's history, with two consecutive quarters of profitability and positive operating cash flow[3] - Revenue for the three months ended September 30, 2025, was $17,359 million, a 2.9% increase from $16,873 million in the same period of 2024[20] - Gross profit for the six months ended September 30, 2025, was $8,800 million, compared to $7,585 million for the same period in 2024, reflecting a 16.0% increase[20] - Net income for the three months ended September 30, 2025, was $642 million, a significant recovery from a net loss of $2,306 million in the same period of 2024[20] - Adjusted EBITDA for the six months ended September 30, 2025, was $3,585 million, compared to a loss of $1,894 million in the same period of 2024[25] - The adjusted EBITDA margin for the three months ended September 30, 2025, was 14.7%, compared to a negative margin of 13.6% in the same period of 2024[25] - Cash and cash equivalents at the end of the period for six months ended September 30, 2025, were $1,866 million, down from $3,627 million at the end of the same period in 2024[22] - Operating expenses for the three months ended September 30, 2025, were $3,037 million, significantly lower than $7,670 million in the same period of 2024[20] - The company reported a net cash provided by operating activities of $2,394 million for the six months ended September 30, 2025, compared to $205 million in the same period of 2024[22] - Total other income/expense, net for the three months ended September 30, 2025, was a loss of $549 million, compared to a gain of $1,263 million in the same period of 2024[20] - The weighted average shares outstanding of Class A ordinary shares for the three months ended September 30, 2025, were 47,309,264, compared to 44,356,074 in the same period of 2024[20] Future Outlook - Aeries plans to achieve FY2026 Adjusted EBITDA in the range of $6 million to $8 million as new contracts ramp up[7] - Aeries anticipates closing additional client opportunities in Q3 FY2026, reflecting rising demand for its services[4] Operational Expansion - The company expanded its operations in India and Mexico, planning to hire over 500 new roles to enhance delivery capacity[9] - Aeries signed a multi-million-dollar AI partnership to enhance its capabilities in India[9] - An AI-powered content automation solution was unveiled, achieving over 80% efficiency gains and a 12x improvement in throughput[9] - The company delivered over $20 million in client savings through its nearshore GCC model in Guadalajara, Mexico[9]