Background: To know the production and reproductive performance of Nellore brown lambs under three systems i.e. intensive, semiintensive and extensive system of rearing and which system of rearing was beneficial for the farmer community in terms of cost economics. Methods: 36 Nellore brown lambs of 3 months age from Livestock Research Station, Mamnoor, Warangal district were randomly allotted to three rearing systems i.e. Intensive (G1), Semi-intensive (G2) and Extensive (G3) system of each 12 animals. The body weight and ADG of lambs in the three systems were recorded fortnightly and calculated the cost economics. The reproductive parameters of ewe lambs were recorded. Result: From 3-9 months age, the mean gain in body weight (kg) in the G1 group was significantly (P<0.01) higher followed by G2 (10.95±0.18) and G3 (9.33±0.09) groups. The mean ADG (gm) was significantly (P<0.01) higher in G1 group (75.14±1.56) than G2 (60.83±1.02) and G3 (51.81±0.47) groups. Significant (P<0.05) difference was observed in the mean age at puberty of ewe lambs in the three groups. The mean age at first service was lowest in G1 (329.50±6.99) followed by G2 (360.17±6.56) and G3 (385.17±5.60) groups. The net income (Rs.) obtained from each lamb was 1870.8, 1406.7 and 1217.3, respectively in G1, G2 and G3 groups. The cost per kilogram live weight gain was higher in the G1 group followed by G2 and G3 group. [ABSTRACT FROM AUTHOR]