Route Mobile Q3 results: Profit rises 28% to Rs 106 cr, revenue up 3.91%

Cloud Communications service provider Route Mobile on Tuesday reported over 28 per cent year-on-year jump in consolidated net profit for the December quarter at Rs 105.7 crore, according to a company filing.

The company's profit (attributable to owners of the holding company) stood at Rs 82.44 crore in the corresponding period in the last fiscal.

According to a stock exchange filing, the company's revenue from operations climbed to Rs 1,024.3 crore, with a 3.91 per cent year-on-year growth.

The profit -- attributable to owners of the holding company -- stood at Rs 105.7 crore in the third quarter of the ongoing fiscal, from Rs 82.4 crore in the year-ago period. This translated into a year-on-year growth of 28.2 per cent.

 

The Profit After Tax came in at Rs 113.6 crore, up 33 per cent over the year-ago period.

In a release, the company said, "PAT reported at Rs 113.6 crore for Q3FY24 as against Rs 88.4 crore in Q2 FY24. PAT margin stood at 11.1 per cent."

Route Mobile Ltd MD and group CEO Rajdip Kumar Gupta said, "It was a slightly muted performance, considering the third quarter is historically our best quarter. This is due to the industry headwinds and delays in a couple of our large contracts going live."

The company has recently onboarded some large customers in Asia and Europe and they should gradually ramp up, Gupta said.

"We are encouraged by the growing adoption of channels like WhatsApp and RCS, some of our latest contract wins are equivalent to the monthly revenues of these product lines," Gupta said.

On the Proximus deal, Gupta said, "We have secured the most important US approval and are in striking distance of the deal closure. A couple of regulatory approvals from the Middle East are awaited anytime soon."

Last year, Route Mobile announced that Belgium-based Promixus Group, through its subsidiary, will acquire up to 84 per cent stake in the enterprise messaging firm.