Redington Limited reported its highest-ever quarterly revenue and profit for Q1FY27, with consolidated net profit after tax (PAT) surging to ₹4.86 billion (₹486 crore), a 77% increase year-on-year when including the Arena investment. Consolidated revenue from operations reached ₹349.22 billion, up 34% from ₹269 billion in Q1FY26. The strong performance was driven by robust growth across both its Singapore, India & South Asia (SISA) and Rest of the World (ROW) segments, alongside improved operational efficiency that expanded the EBITDA margin to 2.03% from 1.54%. This broad-based growth underscores the company’s expanding market share and effective cost management across its global footprint.

The Board of Directors approved the unaudited standalone and consolidated financial results on July 29, 2026, pursuant to Regulation 33 and Regulation 52(4) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by the Audit Committee on July 28, 2026, and subjected to a limited review by Deloitte Haskins & Sells Chartered Accountants LLP, the statutory auditors. Management highlighted that working capital days improved significantly, dropping by five days year-on-year to 32 days globally, reflecting enhanced cash conversion efficiency.

Financial Performance Overview

On a standalone basis, Redington Limited reported a net profit of ₹321.01 crore for the quarter ended June 30, 2026, up from ₹200.21 crore in the corresponding period last year. Revenue from operations on a standalone basis stood at ₹20,753.20 crore. The consolidated earnings per share (EPS) were ₹6.22, compared to ₹3.52 in Q1FY26. The company achieved a return on capital employed (ROCE) of 22.2% and a return on equity (ROE) of 18.8%, indicating strong capital efficiency. The debt-to-equity ratio remained conservative at 0.39 times.

Segment-wise Analysis

The growth was broad-based across both reportable segments. The SISA segment contributed ₹21,126.29 crore to revenue, up 63% from ₹12,994.89 crore in Q1FY26. Its segment result improved to ₹484.73 crore from ₹318.48 crore. Within SISA, India Distribution saw revenue grow by 63%, with EBITDA rising 54% and PAT increasing 60%. The ROW segment saw revenue rise to ₹13,810.08 crore from ₹12,970.60 crore, with its segment result jumping significantly to ₹215.48 crore from ₹77.47 crore. Excluding Arena, ROW revenue grew by 16%, while EBITDA grew by 64% and PAT by 81%.

What the Numbers Show

A key analytical observation is the disproportionate rise in consolidated net profit relative to revenue growth, driven by margin expansion and improved working capital management. The EBITDA margin expansion to 2.03% reflects improved operating leverage. The absence of exceptional items in Q1FY27, compared to a ₹152.31 crore charge in Q4FY26, and a decline in finance costs as a percentage of revenue likely contributed to this margin improvement. Additionally, the reduction in working capital days by five days year-on-year to 32 days indicates stronger cash flow dynamics, despite free cash flow remaining negative at ₹995 crore due to significant changes in working capital.

Operational Updates

The company continues to expand its global presence, having incorporated PT Redington Technology Indonesia and Redington (Thailand) Limited during the quarter. Post-quarter, it added Aladeem Al Ahmar for Computer and Mobile phone Trading and Services LLC in Iraq. ProConnect, the logistics arm, achieved all-time high quarterly revenues with a 38% YoY growth, maintaining an EBITDA margin of 9%. Management noted that while operations are adapting to geo-political situations in the Middle East, no material adverse effects on the financial position are foreseen. Ind AS 29 was applied for subsidiaries using Turkish Lira, with no significant impact on consolidated results.

Redington Limited will host an earnings conference call on Thursday, July 30, 2026, at 09:00 AM IST to discuss its unaudited financial results for the quarter ended June 30, 2026. The announcement provides investors with the opportunity to engage with management regarding the company’s performance in Q1FY27, a critical period for assessing early-year trends in the IT distribution sector. This proactive disclosure ensures transparency and allows stakeholders to analyze the operational metrics before broader market interpretation.

The call is being organized in compliance with Regulation 30(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015. Redington Limited explicitly stated that no unpublished price-sensitive information (UPSI) is intended to be discussed during the meeting. Additionally, pursuant to Regulation 46(2) of the same regulations, the relevant information has been uploaded to the company’s website under the Financial Reports section.

Key Participants

The following executives are scheduled to participate in the earnings discussion:

Investors and analysts are requested to pre-register for the call via the link provided in the official notice. The company has also listed local access numbers and international toll-free numbers for participants in Hong Kong, Singapore, the UK, and the USA.

Regulatory Compliance

The notice was signed by K Vijayshyam Acharya, Company Secretary of Redington Limited, on July 27, 2026. The document serves as formal intimation to the National Stock Exchange of India Limited and BSE Limited, ensuring that all market participants have equal access to the timing and details of the financial review session. Investors should note that the financial results discussed will be unaudited figures for the first quarter of the fiscal year ending March 2027.