Black Box September-quarter profit rises 31% to Rs 72.68 crore

Black Box Limited reported consolidated profit of Rs 72.68 crore for the quarter ended September 30, 2026, up 31% from Rs 55.65 crore a year earlier. Black Box’s total income increased by Rs 353.96 crore to Rs 1,939.49 crore, exceeding the Rs 327.68 crore increase in total expenses despite higher employee and finance costs.

How did Black Box perform in the September 2026 quarter?

Black Box reported profit for the period of Rs 72.68 crore in the quarter ended September 30, 2026, compared with Rs 55.65 crore in the September 2025 quarter and Rs 55.92 crore in the June 2026 quarter. The profit increase was Rs 17.03 crore year on year and Rs 16.76 crore sequentially.

Total income reached Rs 1,939.49 crore, compared with Rs 1,585.53 crore a year earlier and Rs 1,722.25 crore in the preceding quarter. Revenue from operations was Rs 1,936.30 crore, while other income was Rs 3.19 crore, compared with Rs 0.94 crore of other income in the September 2025 quarter.

Profit before the impact of foreign-currency transactions, associate losses, exceptional items and tax was Rs 102.06 crore, up from Rs 75.78 crore a year earlier. A Rs 8.28 crore net loss on foreign-currency transactions and translations reduced profit before exceptional items and tax to Rs 93.78 crore, compared with Rs 75.17 crore in the prior-year quarter.

Which costs changed for Black Box during the quarter?

Black Box’s total expenses increased to Rs 1,837.43 crore in the September 2026 quarter from Rs 1,509.75 crore a year earlier. Income rose by Rs 353.96 crore, more than the Rs 327.68 crore increase in expenses, leaving profit for the period higher by Rs 17.03 crore.

Employee benefits expense rose by Rs 203.21 crore to Rs 752.16 crore, the largest stated expense increase. Service charges rose by Rs 39.87 crore to Rs 234.42 crore, other expenses increased by Rs 19.72 crore to Rs 142.86 crore, and finance costs rose by Rs 10.21 crore to Rs 49.67 crore.

Purchases of stock-in-trade declined to Rs 616.64 crore from Rs 747.61 crore in the September 2025 quarter. Depreciation and amortisation increased to Rs 34.90 crore from Rs 29.03 crore, while the inventory-change line was an expense of Rs 3 crore against a negative Rs 172.84 crore in the prior-year quarter.

What exceptional expenses affected Black Box’s profit?

Black Box recorded net exceptional expenses of Rs 12.50 crore in the September 2026 quarter, lower than Rs 14.14 crore in the comparable quarter a year earlier. The amount comprised Rs 9.38 crore of severance expenses and Rs 3.12 crore from foreclosure of leases.

The severance provision related to BBX Inc.’s manpower rationalisation programme, which the filing says is intended to enhance operational efficiencies. The lease charge arose from early termination of lease agreements involving Black Box and BBX Inc., requiring derecognition of related right-of-use assets and lease liabilities under Indian Accounting Standard 116, or Ind AS 116.

Profit before tax was Rs 81.28 crore after exceptional items, compared with Rs 61.03 crore a year earlier. Tax expense was Rs 8.60 crore versus Rs 6.38 crore, and basic earnings per share after exceptional items rose to Rs 4.09 from Rs 3.28; quarterly per-share figures are not annualised.

What do Black Box’s six-month results and cash flows show?

Black Box’s profit for the six months ended September 30, 2026 rose to Rs 128.60 crore from Rs 103.08 crore in the corresponding 2025 period. Total comprehensive income was Rs 145.69 crore, slightly below Rs 145.96 crore a year earlier because other comprehensive income fell to Rs 17.09 crore from Rs 42.88 crore.

Profit before tax for the six-month period increased to Rs 142.41 crore from Rs 106.23 crore. Exceptional expenses rose to Rs 31.41 crore from Rs 26.74 crore, comprising Rs 25.20 crore of severance costs and Rs 6.21 crore of lease-foreclosure costs.

Net cash generated from operating activities was Rs 115.27 crore in the six months to September 2026, compared with Rs 96.66 crore in the previous-year period. Cash and cash equivalents increased to Rs 595.87 crore at September 30 from Rs 527.61 crore at March 31, 2026.

Investing activities used Rs 276.48 crore, compared with an outflow of Rs 17.99 crore a year earlier. The 2026 outflow included Rs 315.46 crore paid for acquisition of subsidiaries, partly offset by Rs 63.32 crore of cash and cash equivalents acquired through those transactions.

What balance-sheet and compliance matters did Black Box disclose?

Black Box reported total assets of Rs 5,360.22 crore at September 30, 2026, compared with Rs 4,293.70 crore at March 31, 2026. Total equity increased to Rs 1,415.79 crore from Rs 1,286.91 crore, while total liabilities rose to Rs 3,944.43 crore from Rs 3,006.79 crore.

Non-current borrowings increased to Rs 1,184.86 crore at September 30 from Rs 797.03 crore at March 31, while current borrowings declined to Rs 20.19 crore from Rs 29.92 crore. The group also reported non-current goodwill of Rs 963.30 crore, compared with Rs 380.64 crore at the financial year-end.

The filing disclosed foreign-currency trade payables of Rs 20.44 crore overdue for more than six months, including Rs 10.38 crore outstanding for more than three years. Foreign-currency trade receivables overdue for more than nine months were Rs 7.44 crore, while other financial assets and other current assets overdue beyond that period totalled Rs 11.14 crore.

Black Box said its holding company and two Indian subsidiaries had filed applications through an Authorised Dealer Category-I bank for extensions or condonation of delays. Applications for receivables of Rs 14.64 crore were filed during the quarter and Rs 3.94 crore after quarter-end; the auditor said its review conclusion was not modified in respect of the matter.

Conclusion

Black Box’s September-quarter result showed profit rising faster than income as the Rs 353.96 crore increase in total income exceeded the Rs 327.68 crore rise in expenses. The result nevertheless included Rs 12.50 crore of severance and lease-foreclosure expenses, while foreign-currency losses of Rs 8.28 crore reduced profit before exceptional items and tax.

The next disclosures to watch are the outcome of applications on delayed foreign-currency remittances and collections, including applications covering Rs 14.64 crore filed during the quarter. Black Box also disclosed Rs 8.93 crore of residual payables for which extensions had not been filed, with management in the process of approaching the Reserve Bank of India through its Authorised Dealer bank for write-back.