Route Mobile Limited (RML) announced that Proximus Global, its promoter company, has been recognized as a 'Visionary' in Gartner's Magic Quadrant for Communications Platform as a Service (CPaaS). This marks Proximus Global's debut in the Magic Quadrant following its formation on January 1, 2025, through the combination of BICS, Telesign, and Route Mobile.

A Strategic Milestone

The 'Visionary' status, as defined by Gartner, is awarded to businesses that understand market direction and actively shape its future. This recognition underscores Proximus Global's efforts to future-proof its CPaaS offering through:

1. A unified go-to-market strategy
2. A steadfast focus on security and fraud prevention
3. The unmatched global scale of its network backbone

Expanding Capabilities

Proximus Global is expanding its service offerings to meet evolving market demands:

• Expanding global RCS coverage for rich, app-like, interactive messaging
• Enhancing its CPaaS stack with Network APIs, enabling developers to access telco-grade capabilities such as:
  • Location services
  • Quality of Service (QoS)
  • Device information

Leadership Perspectives

Milind Pathak, Chief Marketing Officer of Proximus Global, stated, "The combined strength and vision of Proximus Global allows us to achieve far more than any individual entity could do alone. This belief has been the cornerstone of our strategy from the very beginning, and being recognized by Gartner validates that our ambition and strategy are on solid ground."

Rajdip Gupta, Business Lead at Proximus Global and Managing Director & CEO of Route Mobile, added, "Proximus Global's recognition as a Visionary in the Gartner Magic Quadrant is a testament to the hard work and dedication of our teams across the globe. It reflects our commitment to innovation, security, and delivering exceptional value to our customers."

Synergies and Strengths

Proximus Global's CPaaS offering brings together the strengths of its constituent companies:

• Route Mobile: Extensive reach across emerging markets in APAC and EMEA, along with conversational AI tools for customer engagement
• Telesign: Network APIs supporting phone number identification, transactional risk scoring, and omnichannel verification
• BICS: Travel eSIM capabilities and extensive global telecom infrastructure, including a large SS7 network that supports reliable and scalable CPaaS delivery

This recognition by Gartner highlights Proximus Global's potential to shape the future of digital communications and empower businesses in an increasingly connected world.

About Proximus Global

Proximus Global, formed by combining Telesign, BICS, and Route Mobile, is transforming the future of communications and digital identity. The company's solutions support innovation across the world's largest companies and emerging brands, reaching over 5 billion subscribers and securing more than 180 billion transactions.

Route Mobile Limited , a leading cloud communication platform provider, has reported its financial results for the first quarter, showcasing resilience in the face of market challenges.

Revenue and Volume

The company reported revenue from operations of INR 10,508.00 million for Q1, marking a 4.8% year-on-year decline. Despite this, Route Mobile processed 39.3 billion billable transactions during the quarter, maintaining volumes similar to the same period last year. The average realization per transaction stood at 0.27 paisa, influenced by a shift in traffic composition, particularly a higher share of domestic messaging in India.

Profitability Metrics

Despite revenue headwinds, Route Mobile demonstrated improved profitability:

• Gross profit margin expanded to 21.4% from 19.3% in the previous quarter
• Adjusted EBITDA margin increased to 11.0% from 10.2% sequentially

The company's focus on higher-margin business and cost optimization initiatives contributed to this improvement.

Key Developments

Management Change

Rajdipkumar Gupta has returned as CEO, replacing Gautam Badalia. Gupta's focus will be on growth, cost optimization, and synergies with Proximus Global.

Customer Dynamics

Route Mobile experienced the loss of a large digital native enterprise customer who moved to direct sourcing from mobile network operators. However, the company onboarded several new marquee customers through its omnichannel platform.

Product Performance

New product revenue growth slowed to low double digits, partly due to WhatsApp pricing revisions. The company secured a large firewall deal in Latin America, showcasing strength in its telecom solutions segment.

Strategic Initiatives

Route Mobile is actively engaging with global system integrators to accelerate its go-to-market approach. The company has integrated its RCS platform with one of the largest players globally and added WhatsApp voice capabilities to its platform.

Human Resources

During the quarter, Route Mobile added 26 new employees while 63 employees left the company, indicating a net reduction in workforce.

Outlook

Rajdipkumar Gupta, Managing Director & CEO, commented on the results and future strategy: "As I return to lead the company as CEO, my focus is to enhance the core strength of the company and drive the next phase of our growth story. We will double down on our core business and serve our customers with even greater rigor. Our primary focus will be revenue diversification through expansion of our global footprint for our non-SMS product portfolios."

The company is optimistic about its pipeline, particularly in telecom solutions like firewall initiatives and MapServer. Route Mobile is also leveraging its partnership with Proximus Global to create new opportunities and expand its reach in the global market.

While facing short-term challenges, Route Mobile remains committed to its long-term growth strategy, focusing on innovation, market expansion, and leveraging synergies within the Proximus Global ecosystem.

Note: All financial figures are in Indian Rupees (INR) unless otherwise stated.