Redington Sees 53% YoY Growth in Cloud, Mobility Business Up by 16%

Redington Ltd, today announced its financial results for the quarter ended September 30, 2024 (Q2 FY’25) delivering strong performance vis-à-vis the industry across all business segments. At Rs. 24,952 Crores this has been our best Quarter ever, with a PAT of 1.34% (excl Arena).

Supported by solid execution across businesses and geographies, Redington remained resilient, adapting to various market conditions, and securing new business in the markets they compete in. Adverse market conditions in Turkey and re-prioritization of IT investments in Kingdom of Saudi Arabia were head winds and the strong execution comes despite these happenings. This performance is an outcome of building deeper Brand and partner relationships, enabling a more comprehensive breadth of offerings, and investing in routes to market.

Redington’s transformation initiatives has been a growth catalyst as the company transitions from its role of distributor and aggregator towards becoming a holistic technology solutions provider. It is addressing the market demand for consumer devices and smartphones, hybrid work and learning environments, SMB and enterprise technology solutions including cloud, infrastructure for servers, storage, networking and security. It is also responding to the emerging technology requirements fueled by growing adoption of Cloud, Generative AI, Cyber Security and Sustainable Technologies. 

“In Q2FY25, our growth has been led by good performances across all Business Units, stellar performance in the Cloud business, with a 53% YoY growth and in the Mobility Business with a solid 16% YoY growth driven by strong NPI momentum. India & UAE continue to provide us with great momentum by delivering a growth of 25% and 23% YoY, and there are signs of continued profitable growth recovery in Africa. Challenges in the Turkey business continued due to softening demand caused by tough market conditions, though we recovered from Q1 driven by good management of inventory & receivables. Needless to mention, we remain agile & resilient to the nuances posed by each geography. In this era of digital transformation and constant market shifts, our initiatives are designed to deliver exceptional value to our customers. This quarter we managed to bring our working capital down to 25 days, through efficient management of operations. We also continue to make progress on sustainability initiatives and our contribution to the Planet. We received LEED certification for “Redington Tower”, our headquarter building in Chennai and also got recognized by Business World amongst India’s most sustainability companies with No. 31 ranking. ” said Mr. V.S. Hariharan, Group CEO, Redington Ltd.

Redington’s endeavor to address Technology Friction – the gap between speed of innovation and rate of adoption of technology – is a key driving force, which is shaping its business, and market strategy. With an acute focus on digital and cloud, the company is investing on upskilling and elevating its partners, and providing them with greater accessibility to new age technology products, services and solutions.