| Management target | Revenue 127.0% FY28 |
|---|
| Revenue growth | 29% USD growth YoY; targeting $5 billion in 3 years. |
|---|---|
| Margins | Targeting 5.5%–6% gross margin; 60% margin uplift when attaching services. |
| Order book | Banked revenue for next year is 63.5% based on 85% retention. |
| Demand visibility | High; 74% of revenue is recurring annuity-based business. |
| Management confidence | High, citing strong relationships with top 6 vendors (Microsoft, AWS, etc.). |
Growth
SSG grew 29% YoY in USD terms (37% in INR) to reach $2.2 billion revenue, contributing 17% of total revenue.
Outlook
Targeting $5 billion revenue by FY28 with 5.5%–6% gross margins and 2% PAT. SSG revenue mix aimed at 25%.
Risks
Challenges include transition to non-physical revenue recognition, complex withholding tax across multiple geographies, and managing long-term credit views.
Last quarter's promises, checked
Delivered
- Guided Q4 large deals >INR 500cr in ESG → delivered INR 500cr (= BEAT)
- Guided Q4 large deals >INR 1,100cr in TSG → delivered >INR 1,100cr (= BEAT)
- Guided SSG revenue mix 17% for FY26 → delivered 17% (= BEAT)
Partly delivered
- Guided SSG gross margin 5.5%-6% → delivered 5.5% (= PARTIAL)
Earnings Call filed with BSE, NSE: REDINGTON. Summary written with AI assistance from the document.
Redington Ltd: key numbers
- Share price
- ₹407.25
- Market cap
- ₹31,838 Cr
- Revenue (annual)
- ₹1,19,162 Cr
- Net profit (annual)
- ₹1,490 Cr
- P/E (TTM)
- 18.7×Sector 41.4×
- Promoter holding
- 0.00%+0.00% QoQ
- FII holding
- 61.96%Current quarter
Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.
More from Redington Ltd
All →Redington Partnership
Redington Limited has partnered with Siemens Digital Industries Software to become its distributor in six African markets, accelerating digital transformation through industrial software solutions.
Redington Debt & Borrowing: ₹100 Cr
Redington Limited has completed the redemption of Commercial Paper worth ₹100 Crore. This repayment reduces the company's outstanding debt obligations.
- Value
- ₹100.0 Cr
Redington Earnings Call Transcript: Key Takeaways
Redington delivered record Q1 results with 34% revenue growth, though profits outpaced sales via significant operating leverage. Management remains cautious on West Asia geopolitical risks despite strong India momentum.
Redington Q1 FY27 Results: Net Profit ₹453.5 Cr, Up 94.6% YoY
Redington Ltd reported revenue from operations of ₹34,922 Cr (+34.6% YoY) and net profit of ₹453.5 Cr (+94.6% YoY) for Q1 FY27.
- Key figure
- Net profit ₹453.5 Cr · +94.6% YoY
Redington Earnings Call Transcript: Key Takeaways
Redington is pivoting from a hardware-centric transactional distributor to a high-margin software and services orchestrator. Management targets doubling the Software Services Group (SSG) revenue over the next three years.
- Call
- Guides 100% growth
Redington Earnings Call: Key Takeaways
Redington's Software Solutions Group (SSG) grew 29% YoY in USD to reach $2.2 billion. Management is pivoting from traditional hardware distribution to a high-margin platform-driven service orchestration model.
- Call
- Guides 127% growth