Redington (REDINGTON) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 global revenue reached ₹43,002 crore (+48% YoY); PAT was ₹581 crore excluding the exceptional Arena impairment, while reported profit attributable to shareholders was ₹541.32 crore.

• H1 FY27 global revenue was ₹77,967 crore (+41% YoY) and PAT ₹1,067 crore (+61%) excluding exceptional items; statutory consolidated revenue was ₹77,869.38 crore and profit attributable to shareholders ₹1,027.30 crore.

• Growth was broad across markets and technology businesses, amid geopolitical disruption, component price changes and supply-chain complexity.

Financial highlights

• Global Q2 revenue was ₹43,002 crore (+48%), gross margin ₹2,100 crore (+41%), EBITDA ₹894 crore (+41%) and PAT ₹581 crore (+50%), excluding the exceptional impairment.

• Excluding Arena, Q2 global revenue was ₹41,731 crore (+54%), gross margin ₹1,989 crore (+47%), EBITDA ₹1,003 crore (+58%) and PAT ₹657 crore (+55%).

• H1 global revenue was ₹77,967 crore (+41%), gross margin ₹3,814 crore (+35%), EBITDA ₹1,645 crore (+52%) and PAT ₹1,067 crore (+61%).

• Statutory consolidated Q2 revenue was ₹42,946.91 crore and profit attributable to shareholders ₹541.32 crore; H1 figures were ₹77,869.38 crore and ₹1,027.30 crore, respectively.

• Revenue grew 48% while operating expenses rose 40%, retaining operating leverage.

Outlook and guidance

• H2 growth was expected to exceed 25%, subject to demand contraction from price increases and the impact of the West Asia crisis on UAE, KSA and parts of the GCC.

• India, GCCL and Africa were expected to remain strong; TSG was projected as the leading growth driver, followed by SSG, while Mobility, ESG and MSG warranted greater caution.

• H2 was expected to remain good, though price-led demand pull-forward may temper seasonality; a base smartphone model launch could support Q4 volumes, subject to pricing and uptake.

• Sustainable quarterly OpEx was indicated at ₹950–1,000 crore; longer-term priorities include improving gross margins through SSG/TSG solutioning and ecosystem orchestration, and growing software to 20% of the business.