Route Mobile Reports Strong Q2 FY26 Results with Margin Expansion and New Product Growth

2 min read     Updated on 10 Nov 2025, 04:11 PM
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Overview

Route Mobile Limited announced robust Q2 FY26 financial results. Revenue reached INR 1,119.40 crores, up 0.5% YoY and 6.5% QoQ. Gross profit margin expanded to 22.1%, and EBITDA grew 16% sequentially to INR 133.00 crores. New product revenue increased 13.1% QoQ. The company secured new customers in mobility and transportation sectors, expanded partnerships, and maintained a mix of 85% transactional SMS traffic. Route Mobile implemented a two-pronged strategy focusing on telco and enterprise business segments separately.

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*this image is generated using AI for illustrative purposes only.

Route Mobile Limited , a leading global cloud communications platform provider, has announced its financial results for the second quarter of fiscal year 2026, demonstrating robust growth and improved profitability.

Financial Highlights

  • Revenue from operations reached INR 1,119.40 crores, marking a 0.5% year-on-year increase and a notable 6.5% sequential growth.
  • Gross profit margin expanded to 22.1%, up 70 basis points sequentially and 100 basis points year-on-year.
  • EBITDA grew by 16% sequentially to INR 133.00 crores, with EBITDA margin improving to 11.9%.

Key Performance Metrics

Metric Q2 FY26 QoQ Change YoY Change
Revenue INR 1,119.40 crores +6.5% +0.5%
Gross Profit Margin 22.1% +70 bps +100 bps
EBITDA INR 133.00 crores +16% -
EBITDA Margin 11.9% - -

Business Highlights

  • New product revenue showed strong 13.1% sequential growth, driven by increased adoption of omnichannel and integrated solutions platforms.
  • The company secured new customers in the mobility and transportation sectors, including train/metro segments and bus booking services in Bangladesh.
  • Route Mobile expanded its partnership with Tech Mahindra and integrated firewall platforms with Claro networks.
  • The company maintains a mix of approximately 85% transactional SMS traffic versus 15% promotional traffic.

Strategic Focus

Route Mobile has implemented a two-pronged strategy, focusing separately on telco and enterprise business segments:

  1. Telco Focus: Dedicated team for products like CPaaS in a box, RCS map server, and firewall solutions.
  2. Enterprise Focus: Team concentrating on omnichannel stack and SMS services.

Management Commentary

Rajdipkumar Gupta, Managing Director and Chief Executive Officer, stated, "This quarter truly validates the strategic direction we outlined at the beginning of the year, and it demonstrates the power of disciplined execution. We are seeing strong recovery across our businesses, expanded margins, and meaningful progress on the strategic initiatives we have been building over the past several months."

Future Outlook

While the company did not provide specific guidance, management expressed confidence in maintaining the growth momentum. The focus remains on:

  • Expanding the new product portfolio, particularly in WhatsApp, RCS, and email services.
  • Leveraging partnerships, especially within the Proximus Global ecosystem.
  • Exploring potential tuck-in investments in AI-based companies to enhance product offerings.

Route Mobile's strong performance in Q2 FY26 reflects its successful strategy of prioritizing profitable growth and expanding its product portfolio. With a clear focus on both telco and enterprise segments, the company is well-positioned to capitalize on the growing demand for omnichannel communication solutions.

Historical Stock Returns for Route Mobile

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Route Mobile Declares ₹3 Per Share Second Interim Dividend for FY2025-26

1 min read     Updated on 05 Nov 2025, 12:19 AM
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Reviewed by
Shriram SScanX News Team
Overview

Route Mobile Limited has announced a second interim dividend of ₹3 per equity share for FY 2025-26, representing 30% of the face value. The record date is set for November 10, 2025, with payment scheduled on or before November 25, 2025. Shareholders are informed about tax implications, including TDS applicability and exemption processes. The company has set a deadline of November 10, 2025, for submission of tax exemption documents.

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*this image is generated using AI for illustrative purposes only.

Route Mobile Limited , a leading cloud communication platform service provider, has announced a second interim dividend of ₹3 per equity share for the financial year 2025-26. This dividend declaration, representing 30% of the face value of ₹10 per share, was approved by the company's Board of Directors at their meeting held on November 3, 2025.

Key Details of the Dividend

Detail Value
Dividend Amount ₹3 per equity share
Record Date November 10, 2025
Payment Date On or before November 25, 2025

Eligibility and Payment Process

Shareholders whose names appear in the company's register as of the record date will be eligible for this dividend. The payment is scheduled to be made within 30 days from the declaration date, adhering to the standard corporate practice.

Tax Implications

Route Mobile has informed shareholders about the tax implications of this dividend payout:

  • Dividends will be taxable in the hands of shareholders as per the revised provisions of the Income Tax Act.
  • Tax Deduction at Source (TDS) will be applied at applicable rates.
  • For resident individual shareholders, no TDS will be deducted if the aggregate dividend during FY2025-26 is less than ₹10,000 per annum.

Documentation for Tax Exemption

The company has provided guidelines for shareholders to claim tax exemptions or lower TDS rates:

  • Resident shareholders can submit Form 15G/15H for exemption, subject to eligibility conditions.
  • Non-resident shareholders can avail benefits under the Double Taxation Avoidance Agreement (DTAA) by submitting necessary documents.

Deadline for Document Submission

Shareholders are required to submit all requisite documents by November 10, 2025, to enable the company to determine appropriate TDS rates.

Financial Performance Context

While specific financial results were not provided in the dividend announcement, the declaration of a second interim dividend suggests a positive financial position for Route Mobile. This move may be seen as a way to reward shareholders and signal confidence in the company's financial health.

Route Mobile's decision to declare a second interim dividend underscores its commitment to creating shareholder value. As the company continues to navigate the dynamic cloud communication sector, this dividend payout represents a balance between rewarding investors and retaining capital for future growth initiatives.

Historical Stock Returns for Route Mobile

1 Day5 Days1 Month6 Months1 Year5 Years
+7.26%+8.04%+7.25%-26.94%-48.40%-31.77%
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