NIIT Limited (NSE: NIITLTD) Q1 2026 Earnings Call dated Aug. 08, 2025
Corporate Participants:
Unidentified Speaker
Rajendra S. Pawar — Chairman and Co-Founder
Vijay Kumar Thadani — Vice Chairman & Managing Director
Sanjeev Bansal — Chief Financial Officer
Pankaj Jathar — Chief Executive Officer
Kapil Saurabh — Vice President and Head of M&A and Investor Relations
Sapnesh Kumar Lalla — Chief Executive Officer
Analysts:
Unidentified Participant
Ganesh Shetty — Analyst
Rahul Jain — Analyst
Presentation:
operator
Sam Foreign. Ladies and gentlemen, good day and welcome to NIIT Limited Q1FY26 earnings conference call. As a reminder, all participant lines will be in the listen only mode. And there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing Star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Vijay Thadani, Vice Chairman and Joint Managing Director. Thank you. And over to you, sir.
Vijay Kumar Thadani — Vice Chairman & Managing Director
Thank you. Good afternoon everyone. Thank you very much for your continued interest in NIT limited And joining us today in the middle of a busy. We hope all is fine at your end. My purpose of this call was for us, our management team to provide you an Update on our quarter one results for the year 2526. Also some specific developments in terms of inorganic activity and also the way forward. I have with me Panka Jathar who’s the CEO of the company, Sanjeev Bansal who’s the cfo, Kapil Saurabh who manages M and A and Investor relations, the whole team, the head of HR technology.
And we also have some of our directors, Mr. Sapnesh Lala is here who’s the non executive Director and Rajendra Pawar who will be joining us. And the third founder, Mr. Rajendra who is joining us from elsewhere. So to make sure that we can answer all your questions and give you a correct brief of the situation. I’ll just set the context briefly and then after that Pankaj will take us through the details and then I’ll step in whenever required. So to start with, I think it’ll be safe to say that we have all experienced some really unprecedented times with a very high level of uncertainty, economic volatility and geopolitical turmoil over the last few months.
With this background, let me begin by acknowledging that our organic performance this quarter does not meet our own expectations. In fact, we fell short of our guidance both in terms of revenue growth as well as margins. That said, it’s important to analyze therefore what happened and where did our energies go. So there was one part which was some deliberate actions that we took and the second where we could not foresee and it happened to us. More importantly, the efforts that we have made to remain confident in the direction that we are headed. And I think we are starting this call with that deep confidence.
It’s important to note that during the quarter, in addition to the organic activity, we consummated two inorganic transactions. Acquisition of 70% stake in IM Neo. Very interesting AI powered deep skilling SaaS platform and which adds a new capability, a new market segment, a new experience to niit. And the second was the purchase of the stake of ICICI bank in our joint venture IFBI NIIT Institute of Finance, Banking and Insurance Metrics. Thus making that as a wholly owned subsidiary. I’ll invite Pankaj to walk us through this quarter’s performance and then we’ll step in and discuss the inorganic activity as well.
Over to you Pankaj.
Pankaj Jathar — Chief Executive Officer
Thank you Vijay. Good afternoon to everyone. Thank you for joining us today for. Our quarter one FY26 earnings call. I echo Vijay’s sentiment that we fell short of our guidance both in terms of revenue growth as well as margins. Let me first talk about what impacted the Q1 performance and as we start I want to highlight that Q1 is. A seasonally weak quarter for the business. Also that the results include the impact of IM new acquisition and the IFBI transaction which have been consolidated from April. 17 and June 11 respectively. Let me talk about revenue. Revenue for quarter one was 841 million rupees up 2% year on year and. Down 3% quarter on quarter. Im new financials are consolidated from April 17. The above includes Rs. 52 million in revenue contributed by IMNEO excluding the same. The organic business declined by 4% year on year and by 9% quarter on quarter. EBITDA was negative 63 million while we had stated EBITDA will be negative this quarter. This includes the impact of the lower revenue and the planned investments. The business continued on its planned course. Of investments which delivered an improved order. Flow but did not benefit revenue or EBITDA. Depreciation was 67 million versus 59 million. Last quarter and 56 million last year. This includes impact of the new acquisition. Net other income was 179 million as compared to 221 million last quarter and 155 million last year primarily comprising of treasury income. Profit after tax for the quarter was 44 million as compared to 131 million. Last quarter and 78 million last year. Earnings per share was rupees 0.32 paise. Excluding the impact of inorganic transactions patterns was roughly similar to last year. Based on strong feedback from some of you, we would be sharing additional metrics. These are order intake and we will also give you a split of the enterprise and consumer business. The order intake order intake in Q1 was 1,065 million as compared to 778 million last year and 742 million last quarter reflecting early impact of our investments in terms of business mix, enterprise business contributed to 574 million in revenue this quarter and was up 7% year on year. The consumer business contributed the balance to 67 million which was down 8% quarter on quarter.
The business mix was 6832 in favor. Of the enterprise business in quarter one. Versus 6535 last year. In terms of product mix, revenue from technology programs was 587 million up 7% year on year while revenue from BFSI and other programs was 254 million down 9% year on year. Technology BFSI the ratio was 70:30 versus 66:34 last year. I’ll run you through some balance sheet numbers. The balance sheet metrics remain strong. DSO days was at 53 days in line with the 54 days last year and 51 days last quarter. We are slightly up quarter on quarter due to seasonality consistent with the investment cycle the company is in. Capex for the quarter was 81 million rupees cash and equivalents at the end of the quarter at Rupees 7115 million.
Versus 7580 million in Q4 last year. And 7185 million last year. Quarter one employee headcount at the end of the quarter was 885. This includes 151 employees from IM New. Our Q1 performance was weighed down by several external and transitory factors. Global System Integrators gsis are once again experiencing discretionary spending cuts and a slowdown in decision making cycles. This prolonged uncertainty directly affected hiring, onboarding and trading volumes which is in sharp. Contrast to the pickup we had anticipated earlier in the year. In parallel, the banking sector saw a clear pivot to a risk off stance. Elevated credit deposit ratios, rising stress in. Retail loan portfolios and lower attrition levels. Prompted several banks to reassess and defer hiring plans which in turn impacted committed. And planned onboarding programs. These dynamics resulted in sudden and deep reduction in training spends, creating a double whammy across gsis and banks, significantly impacting our early career skilling and enterprise training volumes. We witnessed delays in order intake and. Uncertainty leading to execution slippages across early. Career and workflow learning programs resulting in. Significantly lower training volume compared to our. Plan, affecting the utilization in ways we. Could not foresee and act on. The geopolitical conflict in the region had a direct though localized impact during a two week period in May. The situation led to cancellation of certain planned training batches and delays in the. Commencement of others beyond the immediate disruption. The heightened engine contributed to a distracted decision making environment further affecting onboarding and program execution. Some of these effects extended into the following weeks creating a cascading impact on. Trading volumes for the quarter and consequent impact on utilization. On the margin front, performance was impacted by planned front loaded investments in AI and also in the go to market GTM engine, people platform, products, partnerships as well as sales and marketing. We’ve invested in all of these across both enterprise and consumer businesses. Transaction related and integration related expenses tied. To our recent inorganic growth actions. We had certain transitionary expenses as we took advantage of the environment to fine tune operations, lower utilizations arising from order. Delays and onboarding deference below the planned capacity leading to negative operating leverage. An update on our strategy actions and progress on those despite these headwinds, this was also a quarter of purposeful execution and strategic build out. We laid down strong foundations for building momentum in our business. Let me highlight a few key developments as guided earlier we accelerated GTM investments, inducted senior leadership, expanded our sales teams and increased brand visibility through targeted marketing and influencer campaigns. On the technology front, we revamped our learning platform, introduced deep skilling programs in new age technologies and integrated agentic AI tools to enhance learner outcomes and internal productivity. We expanded our offerings to include generative and agentic AI, AI and digital coaching for banks and enterprises and solutions tailored.
For sectors like auto, telecom and consumer electronics. OEM partnerships now stand at 35, further strengthening our partner and solution ecosystem. We completed the acquisition of IM Neo which brings an AI led SaaS platform. For deep skilling and personalized learning capabilities. And adds universities and colleges as a new channel, a strong strategic fit with clear synergies already in play. We also acquired the remaining 19% in IFBI from ICICI bank, simplifying our structure and improving our agility to address the BFSI sector. And importantly, we are already seeing the. Early impact of these investments. We had a material uptick in order. Intake in Q1 and the Momentum has continued into July. Improved digital engagement and showing a stronger pipeline Momentum. We signed 10 new logos this quarter. Across BFSI and our other business segments. Further, despite the headwinds, order intake in. The Enterprise segment was up 35% year on year and overall order intake which includes IM new was up 37% year on year. The Road Ahead While the near term environment remains volatile, our conviction in the. Medium to long term opportunity is intact. When we met in the first half of May, our assessment was that the. Worst of the macro headwinds were likely behind us. However, the external environment turned more adverse. Than anticipated as the quarter progressed. Although global tariff pressures and macro uncertainty were known risks, the depth of the. Slowdown in onboarding across GSI’s and BFSIs and the cautious hiring sentiment became more. Pronounced later in the quarter. This contrasted with the strong intent on. Hiring we had heard from IT majors. And consequent expectations on hiring pick up. Also, while the geopolitical conflict in the. Region had already occurred earlier in the quarter, its cascading effects continued into the. Second half, leading to deferred decisions that. Reduced execution velocity in some programs. At that time, we were also seeing early indicators that the strategic investments we had made in our go to market. Engine, expanded solution offering and brand visibility were beginning to show positive traction. Importantly, those investments continue to deliver the intended impact. We’ve seen progress in areas like order intake, new logo wins, digital engagement and. Customer pipeline, all of which validate the. Strategic choices we made. The momentum has continued into Q2 early indicators. Stronger order intake in July shows that. Our investments are causing an uptick in key metrics. In spite of the uncertainty, we remain. Confident in delivering sequential growth in Q2 and a steady progression through the year. As a result, the growth momentum we. Had expected to convert in Q1 has. Now shifted out into Q2. The strategic momentum remains intact, but the realization of outcomes has been delayed by a quarter and is coming at a. Higher than originally anticipated negative impact to profitability. We expect strong sequential growth in Q2. Driven by improving order flow driven by. Our GTM investments, which has created a stronger pipeline, better execution velocity and greater utilization of delivery capacity. However, given the Q1 base, our full year, year on year growth is now. Expected to be lower than our original guidance. That said, we firmly believe Q2 will. Mark the beginning of a gradual and sustained recovery. Our investments in GTM portfolio expansion and technology are now starting to yield results. The market’s structural need for advanced next. Generation skilling, particularly in AI, digital and domain LED learning, remains robust. We are well positioned to serve this demand. We continue to work on the inorganic. Growth mandate driven by the board now. Coming to our guidance. The current environment continues to be marked. By significant volatility and uncertainty. Despite this, based on a strong order. Inflow in Q1 and July, we expect Q2 revenue growth in the range of 13 to 16%. As we continue to invest in strategic. Initiatives, margins for Q2 are expected to remain negative, marginally negative for the full year. We project revenue growth of 15 to 20% contingent on macroeconomic conditions not becoming. Worse than they are given the fluid external environment. We will reassess and update our guidance on a quarterly basis medium to long. Term we continue to see a significant. Opportunity ahead and remain fully committed to. Delivering on our long term strategic objectives. I need to reiterate NIIT has a strong and trusted brand, a differentiated deep skilling methodology delivered over a scalable AI powered delivery platform with proven outcomes. We have 200 active corporate partnerships customers with revenue greater than 90% from repeat customer orders. We have 35 OEM partnerships that give. Us early access to cutting edge technology. Strong balance sheet to continue investments in innovation and growth, significant business transformation cycles ahead which would create demand for specialized talent. We are well poised to take advantage of that demand. The focused entity enables us to be. Nimble and agile to address this market. We will continue to look for opportunities. For both organic and inorganic growth. We completed one of these in April of a young, fast growing, profitable and innovative company. I will invite Vijay back to provide us an update on IM neo.
Vijay Kumar Thadani — Vice Chairman & Managing Director
Thanks Pankaj, I’ll just give a brief I think you’ve all been through the releases that we made on strategic acquisition of IM Neo. We bought a 70% stake in Imneo Edutech Private Limited, a leading provider of deep skilling technology training solutions through a scalable AI powered SaaS platform. The transaction was approved by NIT’s board of directors at its meeting on April 17 and under this agreement NIT will acquire the remaining 30% in phases from IM Neo’s promoters subject to achievement of agreed financial milestones. Iimeo’s founding leadership is continuing in their existing roles and continues to drive growth.
This strategic acquisition unlocks substantial growth opportunities enabling NIIT and IMNEO to deliver robust outcome driven learning solutions at scale for undergraduates and early career professionals through universities as well as corporates. The initial transaction value I.e. 70% stake was 609 million which included 100 million primary infusion and Rupees 509 in secondary purchase subject to closing adjustments and draw. NIIP will acquire the remaining 30% in phases from FY25 to 30 linked to defined performance milestone. The transaction is expected to be growth margin expansion and EPS accretive from the very first year. So we are very excited about this achievement and warmly welcome imneo’s team founders and their full family to the NIIT family.
IM neo’s innovative solutions significantly enhance our capability to deliver impactful digital transformation curricula at scale and I think we’ve got going from the word go from the 17th of April and I think are doing some exciting things together. The second transaction is the purchase of the stake of ICICI bank in our joint venture NIIT Institute of Finance, Banking and Insurance. In June, NIIT purchased 19.28%, 18.78 from ICICI and 0.49% from certain individuals in IFBI from ICICI bank and individual shareholders at a consideration of rupees 62.7 million. Consequent to this, IFBI is now 100% subsidiary of NIIT Ltd.
This transaction enables simplification of operating structure and increase in speed and agility in decision making and expansion of scope substantially beyond banks in the BFSI industry. So though it was a challenging quarter like Pankaj shared, it was also a building quarter. We believe that the strategic levers we have activated in quarter one are setting the stage for a stronger performance in the coming quarters. We are confident that the groundwork we have laid and translate into both will translate into both growth and acceleration as well as margin improvement as we go on. I would like to now open it for question and answers questions so that we and our full management team here will be happy to answer over to you.
Questions and Answers:
operator
Thank you very much. We now begin the question and answer session. Anyone who wishes to ask a question may press star N1 on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles participants. You may press STAR and one to ask the question. Ladies and gentlemen, you may press Start and one to ask a question.
Vijay Kumar Thadani
While people are figuring out their questions and digesting what we have just shared, let me ask Pankaj to use this time to talk a little bit about our AI initiatives and how we are leveraging AI to build a very strong competitive edge in the markets that we operate in. And I will also tell Sapnesh and Sapnesh in fact has talked about it on other platforms to supplement what Pankaj does.
Pankaj Jathar
Sure. Thanks Sujay. So we’ve already shared with you that. Our business is on enterprise and consumer side. So I will talk about our AI initiatives along those lines. So on the enterprise side we are. Working with a number of customers where we are helping them understand how they can leverage AI in their business. So we are training management teams, leadership. Teams on better utilization of AI internally and then training organizations on productivity improvements using AI. We have built training programs along these lines. We have also built some tools which companies can use as sandbox for practicing or understanding how they can utilize AI. That’s on enterprise side, external training. On the consumer side, we have incorporated training programs as part of products that we sell directly to consumers and they can skill themselves on how to use AI in their career and profession. On the third dimension, we are also using AI internally for NIITN to become more productive. We are using it very specifically in. Our courseware creation processes and in our. Program creation to improve our productivity cycles. And I would love SAPNESH to talk to us a little bit more on what the NIT ecosystem is doing with AI.
Sapnesh Kumar Lalla
Thanks. Thanks Pankaj. I think AI is fundamentally changing how a number of jobs get done. And this change is going to be rapid and it’s going to be change is going to be quite fundamental. So as Pankaj talked about, we train on or educate folks on a number of different job roles. For example programmers or QA engineers or bank relationship managers or wealth managers across the two key market segments we service. It’s not that programming will go away, but how programming gets done will change dramatically. Programmers will be able to use AI to become significantly more efficient in their ability to build applications.
And I think as we saw when digital transformation took place, they will be able to create applications that are not possible to be created today. And I think our endeavor would be to enable, and I think from the point of view of our customers, their endeavor would be to make sure that their talent does not get left behind because if it gets left behind, they would not be relevant. So I think our opportunity with respect to technology related training and likewise with respect to banking and other market segments that we service are to be able to reimagine the way a job is going to be done and be able to educate our constituents on how to be able to do that job using AI so that they are significantly more efficient and they are able to imagine their product using AI in a way that’s significantly better than what they could imagine in the past.
And I think that’s going to be a real key differentiator. For example, if we are able to enable a programmer to imagine applications that they have never dreamt of before, applications that can change the way a corporation works, or change the way it produces products, or changes the way it automates business, or changes the way it services its customers, that would enable the organization to become significantly more competitive. Same goes for banks. The same goes for automotive companies that we serve. Same goes for telecom companies that we serve. So our goal would be to enable talent so that they can reimagine how they can do their jobs, they can make them more impactful to get them to imagine the world in a different way.
That’s really what we’re trying to do. And I think we are making more progress than at least our competitors.
Vijay Kumar Thadani
All right, questions? Operator, are there any questions?
operator
No sir, we don’t have anyone in the question queue at present. Ladies and gentlemen, you may press Star and one to ask a question. The first question also characterized. An individual investor. Please go ahead.
Ganesh Shetty
Good evening sir. My question is regarding GNIT which you have launched in a renewed way and with the acquisition of Amneo, can we be able to cross sell this product into universities? And also there is a lot of marketing expenditure which we have done to launch this gnit. So can you please tell me the response of this course in the market and road ahead for this particular course, sir?
Vijay Kumar Thadani
Thank you. I think Pankaj will be happy to answer.
Pankaj Jathar
Thank you for the question. You are right. The acquisition of IMNEO creates opportunities for. GNIIT to be sold through another sales channel or go to market channel in partnership with IM Neo. And that is something we are exploring. We are already seeing encouraging early signs of possibilities there. So that synergy is definitely being created. And overall, on the marketing side. You. Might have seen we recently launched some advertisements with the GNIIT program. We did this on YouTube and Instagram and we are seeing very high engagement of these ads. So significantly higher than average engagement on both the channels on YouTube as well as on Instagram. And we are seeing elevated traffic to our website after we’ve launched these ads. So definitely seeing a positive response. While the ads are focused on GNI. It, the response we are seeing is across the board, not just on gniit. Customers who are visiting the website are looking at the entire portfolio and engaging with the website accordingly. So on both fronts, the partnership with imneo very encouraging early signs and I expect that to help us create more synergy and more opportunities there through their market channel. And on the marketing front, the campaigns that we’ve launched, they are showing good early signs of and we are seeing higher number of visits and registrations both on account of the marketing efforts. Vijay, anything you’d like to add to that? No. Noise. There is some noise on the line now it’s gone. Yeah.
operator
Thank you participants, you may press Star and one to ask the question. Next question is from line of Rahul Jain from Daulat Capital. Please go ahead.
Rahul Jain
Yeah. Hi. Thanks for the opportunity. Just wanted to get some clarity on this order intake data. How one should read it in terms of what is the mix of this across vertical and also the tenure that typically this may take to get consumed. Any color inside into it should be of greater.
Vijay Kumar Thadani
Okay, thanks Rahul. I think Pankaj and Kapil will together answer this data. Pankaj and will together answer this data. I’ll provide you with this data. But just to let you know we since you are familiar with the past of NIIT in our other businesses we also used to use a term called revenue visibility. In this case. These are fixed orders. That means a customer has committed that they would consume an amount of training which could be in the form of whatever service that we are providing. Defining the the quantity, defining the rates, defining the period.
And based on that the order intake is considered. Order intake can be over 1/4, 2/4, 1 year or many more years. What we do for order intake and that’s our internal norm, we have been using it for a long period of time. Our internal norm is the word order intake. Internal is used to depict orders which will get consumed in the next 12 months whenever the order comes. So that is what is. It may be a three year order but we will only take that amount which can be consumed over 3 years or 1 year.
Sorry or next 12 months. Typical duration of execution of an order will be something which Pankaj will share with you. And the second issue which I would like to say is that it’s a data which we have been tracking for long period of time. But we thought instead of confusing everybody with multiple data elements we had kept it simple to revenue. There was a request coming from many quarters I think including the yourselves saying that we need more color and visibility on some of the lead indicators. And we thought order intake is a very good indicator of what kind of revenue can one expect in future.
So Pankaj, over to you.
Pankaj Jathar
Sure, thanks. Vijay, you’ve explained what order intake is and just to complete out what you talked about when it gets consumed. So it varies by business divisions. So the OEM training that we do, that kind of order typically gets consumed within a few days or a couple of weeks because that’s the duration of training. But some of the other transformation kind of trainings we do that order goes over weeks and months because that’s a different kind of engagement we have with customers and a different kind of training program we do. On the consumer side programs like GNIIT are multi year programs and there are others like Full Stack Software Engineer which is a six month program for digital marketing which is three months.
So the consumption of the order intake is accordingly over that period of time. So Rahul just to answer your question I’ll repeat the order intake I mentioned earlier and I will add little bit more information there. So that gives you the color that you’re asking for. So order intake in Q1 was 1,065. Million as compared to 778 million last year. I will break this up into enterprise and consumer. So the order intake for the enterprise business was up 35% at 789 million and order intake for consumer business is up 41% at 275 million. So we saw a robust uptick on both these counts for order intake.
Vijay Kumar Thadani
And you may just want to clarify that the order intake includes imu.
Pankaj Jathar
Yeah both of these numbers include im new since im new came on board on the 17th of April. So this quarter number includes im new. But if I keep im new aside. We saw a robust uptick in order intake for especially for the enterprise business. I hope that helps all.
Rahul Jain
Yeah that is clear. Just a clarity further into it is that if I look at you said around 70 odd crore of this is the enterprise business and our overall enterprise business is 2/3 give or take. So the run rate from a 12 month executable point of view is barely for 4 month run rate. So are we trying to say bulk of the enterprise business is also on a short duration book?
Vijay Kumar Thadani
Sorry, your your question requires refinement. Let me demonstrate my understanding. What you’re saying is that the enterprise order intake does. Do the orders get consumed in a shorter cycle? Is that what you are referring to?
Pankaj Jathar
I think that’s what he.
Rahul Jain
Yeah. So what I’m trying to say that our give or take our business on the enterprise side is 200 crores on run rate. Our order intake is 70 crore. This is 12 month executable as you defined it. So I’m saying we have visibility of only 45 months in terms of the enterprise business. So that means the deal signings are pretty short any of it.
Vijay Kumar Thadani
Which is right. Which is right. Most of the deals would be of short 10 years between one to three months.
Pankaj Jathar
Yes most of the orders would be deals are longer. So when we work with a customer we work over a longer duration. But for order intake we will take. A specific numbered order that a customer gives us. So the execution of that will be. Short term but the engagement with customers is long term. So if we are say skilling someone about 2,000 people on Oracle then the. Order intake will be by batch and month. But the program is for a 2,000 people program over a longer duration. So in this example, you would take the number of people who could be done from a 12 months forward basis into your order intake. It will depend on the work, on the specific work order for execution. Right. So while the engagement with the organization. Would be on the larger program, but. The specific work order that they give us is what we count as order intake. And that will be executed on a shorter duration.
Rahul Jain
Understood. So although it is a 12 month book, executable book, but the total also would not be a significantly larger number than this because the tenure itself is smaller.
Pankaj Jathar
Yes, to an extent. And the nature of our business is also that we will keep getting orders every quarter. So it’s not. It’s not very different from what you mentioned. And we will build an order book, but we will also be getting new. Orders every quarter, which we will execute within the quarter also.
Rahul Jain
Right. And in the enrollment data, if you could give data X of the IMEO part, what could be the enrollment number for the quarter. You have?
Pankaj Jathar
200,000. It’s about 200,000 people who went through. See why I feel the order intake is a better measure. Enrollment was a very good measure when the average ticket price, if I may say, was in and around a particular number. Right now with the kind of work that we are doing, the ticket price varies at an individual level over a very long large range. And we thought, therefore order intake is. Is a better measurement.
Rahul Jain
Okay, that. That I can understand. I’m saying what is the enrollment number? Because I heard you saying 200,000. So I was asking 200,000 is the I am Neopart. Is that what we are trying to say?
Vijay Kumar Thadani
No. Yeah, 200,000 is the I am new part. He’s asking for the other one. Total is 270. 270. 270, 70,000. So if I have to go by that, I understand, as you rightly said, the range for the enrollment would be significantly different. But this base number for our organic business was 52 000. So are we saying on the core business we have seen enrollment from 52,000 to 70,000 plus? Yeah, actually we have the data. We can share that with you very easily. But we decided we’ll focus on this. So we have the data. Please share the data.
Rahul Jain
Fair enough. That’s it. From my side. Thank you. All right, thank you.
Vijay Kumar Thadani
Q1. FY25, it was 48,827. And U1 is 71, minus 16 is 55,000, it was 48,827 which has now become yeah, 55,000 as far as enterprise is concerned and as far as consumer is concerned it was 198 is including IMU. So you have to remove. Just take out those numbers. We can share that with you. It’s not as different as you said it is. We’ll give you the exact numbers while we address the other questions.
operator
Thank you very much. Participants you may press star and one to ask the question. Next follow up question is from land of Ganesh Shetty individual investor please go ahead.
Ganesh Shetty
Hello, I am audible sir. Hello. We are organizing several editions of Digital Architecture conclaves. Whether this is helping us to acquire new business in GCC enterprise segment sir, or how is the response there?
Vijay Kumar Thadani
Yeah, thank you for asking that question. I think will be happy to answer. So this year was the third edition. Of the Digital Architect conflate and we had more than 150 participants representing number. Of companies and most of them represented. GSI’s and some of them represented GCCS. These are practicing digital architects who attend the conflict. So the way we’ve positioned the event, it is a community that we have created of digital architects who come together. And share ideas with each other and they spend a day there learning about what’s the newest thing happening in their space from each other and from speakers who attend the. Day. And in preparation for that, a lot of them actually spend a lot of time to participate in some of the activities we do there. There is a poster competition where digital architects come and share their innovative solutions and how they have solved problems for their customers and a panel selects from that. So as a program it has been. Very successful and in terms of downstream business we have actually seen opportunities coming out of last year’s digital conclave for us which resulted in direct business as well. And of course it results in our engagement with the digital architect community. It gives us access to knowledge, information and access to mentors in this space and helps us create that sense of community and belonging amongst digital architects across the industry. So we’ve built a very premium position. For ourselves in this space and it. Is serving us very well. Even this year I expect greater engagement with some of the customers who attended the conclave resulting in future business from them.
Ganesh Shetty
Yes. My next question is regarding. In your opening remarks you have mentioned about building the organization and making it fit for the future. And this this quarter we had some high level recruitment also. So whether this investment phase is going to reduce, I mean there will be lesser amount of investment in the future which can increase our EBITDA margins in the present business. Can you throw some light on this or the investment will continue in the same speed. Please require even clarification.
Vijay Kumar Thadani
Sure. So we are investing in building the. Retail side of the business. And investments in that space will continue for at least the next four to eight quarters. Because that kind of a business needs the flywheel to go faster before it kind of generates its own momentum. So we will need to put that. Effort to build the retail side of. The business and of course rebuild the. Organization overall as well. So some of the investments will come down very soon. But some investments will have to continue. Investments, especially in building content, building course material and building the retail business. Those things will continue for some time. But yes, as a company, we will see some of the changes happening over the next few quarters.
Ganesh Shetty
Thank you, sir. That’s all from me.
Vijay Kumar Thadani
Thank you. Rahul. While there is a pause, let me give you the data that you were asking for. In Q1FY25, we had 52,630. In Q1FY26, we have had 56,883. And both these numbers are without Im new.
operator
Thank you very much. Participants, you may press star and one to ask a question. Next question is from line of Balkishan Mundra from Mundra Investments. Please go ahead.
Unidentified Participant
Yeah, hi. This question is for Mr. Panka Jathar. So basically you have given a Revised guidance of 15 to 20% to know what will be the organic and the inorganic guidance for that. Because I think that guidance also include the im new one. So I want to understand what is the core organic growth guidance and what is the im new guidance. If you can specify that please.
Pankaj Jathar
So the guidance you’ve given, like you. Pointed out, does include the inorganic number as well which is now consolidated into our numbers overall. But if I was to tease it. Out, then the organic guidance would be between 5 to 10% for us. And added on top of that would be the inorganic. Okay, thank you. And the 25% guidance was also including Im new even at that time.
Unidentified Participant
Okay. Okay. Thank you. Thank you.
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Thank you. Participants, you may press star N1 to ask the question. Ladies and gentlemen, you may press star and 1 to ask the question. As there are no further questions, I’ll now hand the conference to the management for closing comments.
Vijay Kumar Thadani
Thank you very much. Thank you very much everyone for joining the call and for your questions. As usual, your questions do open new windows in our own mind and help us sharpen our strategy as we go forward. We did acknowledge that the results fell short of our own expectations. But we are confident with our very strong order book intake as well as additions in the family like imneo that we would be on this growth path. It’s like what we were expecting to see from last quarter would now start seeing, we will start seeing from the next quarter and we have Pankaj has given a guidance of course that assumes that the environment remains the way it is and hopefully improves a little bit and does not give us any more unpleasant surprises.
But thank you very much for your continued interest as well as guidance and we look forward to interacting with you in person. Having mentioned that we are in Mumbai on Monday morning Monday we are spending time with both of you whom we can meet and we’ll be very happy to organize one on one or group meetings to answer any further questions. Thank you for your continued interest. All the best. Thank you.
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Thank you very much on behalf of NIIT limited That concludes this conference. Thank you for joining us and you may now disconnect your lines. Thank you.