Redington (REDINGTON) Q4 25/26 earnings summary

Executive summary

• Achieved record quarterly and annual revenue and PAT, with strong year-over-year growth across most segments, led by SISA and ProConnect; Arena business faced significant challenges, including a major impairment due to Turkish economic conditions.

• Audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, were approved, with an unmodified audit opinion from Deloitte Haskins & Sells.

• A final dividend of Rs. 6 per equity share (300% of face value) was recommended for FY 2025-26, subject to shareholder approval.

• Growth was broad-based across geographies and business units, with India leading at 50% top-line and 41% PAT growth for the quarter.

• Strong performance achieved despite geopolitical challenges, especially in the Middle East, and supply chain disruptions.

Financial highlights

• Consolidated revenue from operations for FY 2025-26 was Rs. 1,19,162.36 crore, up from Rs. 99,333.65 crore year-over-year; Q4FY26 global revenue grew 25% YoY to ₹33,269 Cr.

• Consolidated profit for the year attributable to shareholders was Rs. 1,604.84 crore, compared to Rs. 1,490.22 crore last year; PAT margin at 1.4% for Q4 and 1.3% for FY26 (excluding exceptional items).

• SISA Q4FY26 revenue up 48%, EBITDA up 25%, PAT up 42% YoY; India distribution revenue up 50%.

• Arena business faced a 46% revenue decline and impairment loss due to Turkish economic conditions.

• Dividend of INR 6 per share declared, representing 30% of profits.

Outlook and guidance

• India expected to maintain momentum, though some softness anticipated in Q1; Middle East to remain soft in Q1 and possibly Q2 due to ongoing conflict, with recovery expected post-crisis.

• Management highlights ongoing focus on operational efficiency, digital platforms, and expanding software and cloud segments.

• SSG and cloud businesses expected to sustain or accelerate growth; security segment targeted for improvement.

• Cautions on macroeconomic, geopolitical, and currency risks, especially in emerging markets.

• The company continues to monitor geopolitical risks in the Middle East and regulatory changes in India, with no material adverse effects currently identified.