Redington Q4 FY25: Revenue ₹26,510cr, dividend ₹6.8

Overview of Redington’s business footprint

Redington Limited distributes information technology, mobility, and other technology products across India, the Middle East, Turkey, Africa, and South Asian countries. The company’s scale is reflected in a market-cap figure of ₹16,471 crore cited alongside TTM revenue of about ₹1,12,000 crore and TTM earnings of about ₹1,765 crore. In Q4 FY25 commentary, management said the numbers discussed were exclusive of Paynet divestment gains. The quarter was positioned as the company’s “best Q4 so far,” supported by execution across segments and geographies.

Q4 FY25: record revenue and profit highlights

Management cited a quarterly revenue record of ₹26,510 crore and quarterly profit of ₹400 crore for Q4 FY25, excluding Paynet divestment gains. The same commentary said revenue grew 18% year on year and profits rose 23% year on year. Another reported set of consolidated figures stated revenue from operations rose 17.85% year on year to ₹26,439.68 crore in Q4 FY25. In that report, consolidated net profit rose 104.43% year on year to ₹665.62 crore, while profit before tax rose 201.71% to ₹1,148.14 crore.

A separate data snapshot also listed quarterly revenue at ₹25,951.99 crore, with a quarter-on-quarter decline of 1.84% from ₹26,439.68 crore and year-on-year growth of 21.94%. It also cited net profit of ₹275.27 crore, up 590.77% quarter on quarter from ₹39.85 crore, and up 11.88% year on year. These multiple figures indicate that different sources were referencing different profit lines, scopes (global performance vs revenue from operations), or reporting bases.

EBITDA, margins, and operating efficiency signals

One report put EBITDA (global performance) at ₹667 crore in Q4 FY25, up 24% from ₹539 crore a year earlier. Another stated EBITDA rose 30% to ₹596.9 crore and that margins improved to 2.3% from 2% a year ago. In management commentary, the quarter’s margin was described as “around 6%,” with a further explanation that resell and subscription models were seen in the 5.5% to 6% range. Professional services were described as having additional margin potential of “around 20% plus.”

Management also highlighted working-capital discipline, stating a 34-day closing working capital, the same as the previous year, and “Q4 RO was at 21%.” Interest and factoring cost for the quarter was put at about ₹110 crore. On foreign exchange, management cited a forex loss of ₹50 crore in FY24 versus ₹14 crore in FY25, a 72% reduction.

Geographic growth: India and UAE led in Q4

In the earnings commentary, revenue growth was attributed to strong performance in India (26%) and the UAE (24%) during the quarter. Saudi Arabia was described as showing signs of growth recovery at 7%. Africa was said to have continued momentum across East and West Africa at 11% year-on-year growth.

Business unit trends: cloud remained the key growth engine

Management said all business units registered good growth in Q4 FY25. The Cloud Solutions Group (CSG) was highlighted as the lead performer with 41% top-line growth, supported by hyperscaler business momentum and subscription software. In another report, Redington’s cloud business growth was also cited at 41% year on year in Q4 FY2025. The Technology Solutions Group (TSG) was reported to have grown 28% year on year, driven by large deal wins and new software brand contracts.

Segment split: SISA and Rest of World

One segmental disclosure for Q4 FY25 showed SISA (Singapore, India and South Asia) revenue of ₹13,453.52 crore, up 24.61% year on year. Rest of World (ROW) revenue was listed at ₹12,998.65 crore, up 11.57% year on year. Together, these numbers align with the quarter’s consolidated scale reported around ₹26,439 crore to ₹26,510 crore.

Arena and the Paynet divestment: cash proceeds and debt reduction

Management said all approvals for the Paynet divestment were obtained during the quarter and the deal was closed. Net proceeds of ₹626 crore (also described as roughly $14 million) were received after related expenses. Management added that a large part of the proceeds was used to repay Arena’s debt position.

The company indicated this should have a positive impact on Arena’s performance in upcoming quarters. However, the management commentary also clearly separated the operating performance discussion from any divestment gains.

FY25 full-year picture: record revenue, multiple reported profit lines

Management described FY25 as a record year with revenue of ₹99,562 crore and profit of ₹1,340 crore, up 11% on revenue and 10% on profit after tax. Another report, using consolidated financials, stated consolidated net profit jumped 46.98% to ₹1,820.62 crore on an 11.17% rise in revenue from operations to ₹99,333.65 crore in FY25.

On a standalone basis, Redington reported profit of ₹209.45 crore for the January-March 2025 quarter versus ₹160.57 crore a year earlier. Standalone total income for the quarter was ₹13,137.14 crore versus ₹10,510.98 crore a year earlier. For the year ended March 31, 2025, standalone total income was ₹49,543.58 crore versus ₹41,740.56 crore.

Dividend: ₹6.80 per share, payout context and coverage

The board recommended a final dividend of ₹6.80 per equity share for the year ended March 31, 2025, subject to shareholder approval at the ensuing AGM. Management described the FY25 dividend as similar to FY24 and said it constituted nearly 40% of total profits for the year (excluding the one-off impact of the Paynet divestment). Another report quantified this as 39.5% of consolidated profits excluding divestment gains.

Dividend metrics in the provided data vary by source and period. One snapshot cited a dividend yield (TTM) of 2.58% and noted dividends are paid annually, with the last dividend per share at ₹6.80. It also stated dividend yield was 2.80% in 2024, with payout ratio at 33.13%, and the year before yield was 2.98% with payout ratio 39.77%. Separately, a dividend figure of 3.24% was also cited, along with a note that it was not well covered by free cash flows.

Valuation and earnings expectations cited in the data

The provided valuation snapshot put Redington’s price-to-earnings ratio at 9.3x, below the Indian market level of 23.5x. It also stated earnings grew by 39.5% over the past year and that earnings are forecast to grow 13.07% per year.

For near-term expectations, the next report date was listed as approximately November 11, with the report period shown as Q2 2025 and an EPS estimate of ₹4.50. Another trading and estimates snapshot stated the last quarter’s EPS was ₹3.51 versus an estimate of ₹4.40, a -20.23% surprise. That same snapshot put last quarter revenue at ₹25,952 crore versus an estimate of ₹24,381 crore.

Market moves: mixed snapshots around results

A trading snapshot put the current price of REDINGTON at ₹264.05, down 0.51% over 24 hours. Another report noted the stock added 1.61% to ₹284.80 after the company’s Q4 FY25 consolidated profit increase was reported. Reuters was also cited saying Redington hit a record high on a Q4 profit surge.

Key figures at a glance

What investors will track next

Management flagged that Q1 is normally a softer quarter, while reiterating the intent to execute against addressable opportunities and retain market share. The next earnings report is listed for November 11, 2025, with an EPS estimate of ₹4.50 for the stated report period. For investors, the immediate checkpoints are dividend approval at the AGM and whether working-capital discipline, margin commentary, and the post-divestment impact at Arena show up clearly in subsequent quarters.

Registered office (as provided): SPL Guindy House, 95 Mount Road, Guindy, Chennai, Tamil Nadu-600032. Ph: 91-44-42243353.