Redington Q1 net profit zooms 77%; reports highest-ever quarterly revenue

Redington, Resulticks enter 5-year partnership to tap $150 million market opportunity


Technology solutions provider Redington Ltd on Wednesday (July 29) reported a profit after tax (PAT) of ₹486 crore for the first quarter, compared with ₹275 crore in the corresponding quarter last year, registering a 76.6% year-on-year growth.

The company reported its highest-ever quarterly revenue of ₹34,922 crore during the quarter, compared with ₹25,952 crore in the year-ago period, marking a 34.6% year-on-year increase.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased to ₹708 crore from ₹400 crore, a growth of 76.8%. EBITDA margin improved to 2% during the quarter from 1.5% in the year-ago period.

ALSO READ | Redington Q3 net profit up 3%, revenue rises 16% on strong solutions-led growth

For Q1 FY27, global business excluding Arena reported revenue growth of 41%, EBITDA growth of 54% and PAT growth of 64% year-on-year. Global business including Arena recorded revenue growth of 34%, EBITDA growth of 67% and PAT growth of 77%.

South India and South Asia (SISA) business revenue grew 63% year-on-year, while EBITDA increased 50% and PAT rose 56%. The SISA business reported return on capital employed (ROCE) of 28.3% and return on equity (ROE) of 26.6%. Working capital (WC) days stood at 31 days, reducing by five days year-on-year.

In SISA, all business units reported year-on-year growth. Managed Services Group (MSG) revenue grew 88%, Technology Solutions Group (TSG) increased 57%, Enterprise Solutions Group (ESG) rose 49%, and Supply Chain Solutions Group (SSG) grew 42%. India Distribution revenue increased 63%, EBITDA grew 54%, and PAT increased 60% year-on-year.

ALSO READ | Redington, Resulticks enter 5-year partnership to tap $150 million market opportunity

Rest of World (ROW) business, including Arena reported revenue growth of 6%, EBITDA growth of 121% and PAT growth of 143% year-on-year. Working capital days stood at 32 days, down eight days year-on-year. Supply Chain Solutions Group grew 63%, and Technology Solutions Group increased 36%.

ROW business excluding Arena reported revenue growth of 16%, EBITDA growth of 64% and PAT growth of 81% year-on-year. Supply Chain Solutions Group grew 64%, Technology Solutions Group increased 34% and Enterprise Solutions Group rose 31%.At the global level, working capital days stood at 32 days, reducing by five days year-on-year. Software Services Growth (SSG) grew 53%, Technology Solutions Growth (TSG) increased 49%, and Enterprise Solutions Growth (ESG) rose 35% year-on-year.

ALSO READ | Redington Q4 profit impacted by exceptional loss; Revenue grows by 25%

Redington’s debt-to-equity ratio stood at 0.39 times. Return on capital employed (ROCE) was at 22.2%, and return on equity (ROE) stood at 18.8%.

ProConnect Global reported its highest-ever quarterly revenue in Q1 FY27. Revenue grew 38% year-on-year, EBITDA increased 15%, and PAT rose 24%. EBITDA margin stood at 9%, and PAT margin was at 3%. Captive business contribution stood at 28% for the quarter.

Shares of Redington Ltd ended at ₹287.65, up by ₹9.55, or 3.43%, on the BSE.



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