Redington shares rally 15% after Q1 profit surges 77%; revenue rises 35% YoY

Redington Ltd shares rallied nearly 15% to Rs 329.10 during Thursday's trading session after the technology solutions provider reported a 77% year-on-year jump in net profit for the June quarter, backed by record revenue and strong growth across key business segments.

The company posted a Q1FY27 net profit of Rs 486 crore, compared with Rs 275 crore in the corresponding quarter last year. Excluding exceptional items, profit after tax (PAT) grew more than twice as fast as revenue, highlighting significant operating leverage.

Redington also reported its highest-ever quarterly revenue of Rs 34,922 crore, up 34.6% from Rs 25,952 crore in the year-ago period. The company's PAT margin stood at 1.4% during the quarter.


The robust performance was broad-based across Redington's businesses and key operating markets, with India emerging as the biggest growth driver.

Revenue from the India business surged 63% year-on-year, while profit after tax climbed 60%. The strong performance was fueled by the execution of large enterprise deals, higher PC realizations amid industry-wide memory supply constraints, continued premiumization in smartphones, and sustained demand for cloud and cybersecurity solutions.

Meanwhile, revenue from the Middle East and Africa business increased 15% year-on-year, supported by cloud and cybersecurity offerings despite geopolitical uncertainties during the quarter.

All major business verticals reported healthy growth during the quarter:

Software Solutions Group (SSG): Revenue rose 52% YoY, driven by increasing adoption of cloud, cybersecurity, AI-enabled solutions, software-led engagements, and subscription-based business models.

Endpoint Solutions Group (ESG): Revenue grew 35% YoY, supported by higher PC realizations amid memory supply constraints and healthy market demand.

Mobility Solutions Group (MSG): Revenue increased 21% YoY, led by strong demand for premium smartphones and expansion of retail-led distribution.

Technology Solutions Group (TSG): Revenue climbed 50% YoY, aided by large enterprise and data-center deals along with steady growth in the core business.

Redington Share Price Performance

The stock extended its winning streak after the earnings announcement, rising nearly 15% during Thursday's session. It also touched a fresh 52-week high of Rs 338.50.

Over the last three months, Redington shares have gained around 35%, taking the company's market capitalization to approximately Rs 22,472 crore.

Technical Outlook

From a technical perspective, momentum remains positive. RSI (14): 63.3, indicating healthy momentum while remaining below the overbought threshold of 70.

Moving Averages: The stock is trading above all 8 out of 8 key simple moving averages (SMAs), reflecting a strong bullish trend.

The combination of record revenue, sharply higher earnings, broad-based business growth, and bullish technical indicators has strengthened investor sentiment, helping Redington shares scale fresh lifetime momentum in Thursday's trade.

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