Redington India : Strong Performance history, re-rating candidate

Summary:

Financial Performance:

  • Overall revenues grew by 26% YoY.
  • Gross profit increased by 17% YoY.
  • Revenue and gross profit growth in Singapore, India, and South Asia (SISA) at 24%.
  • Rest of the world saw growth of 29% in revenue and 11% in gross profit.
  • EBITDA for SISA grew by 19%, while the rest of the world saw a degrowth of 17%.

Digital Transformation:

  • Redington’s digital transformation has been a key factor in its growth.
  • Transitioning from a traditional distributor to a technology aggregator.
  • Focus on providing managed services for private and public cloud security and audits.

Business Dynamics:

  • Subdued demand for work-from-home and learn-from-home technology.
  • Robust demand for data center infrastructure products and cloud solutions.

Guidance:

  • Expecting a constrained demand environment in certain categories.
  • Anticipate sustaining reasonable revenue and margin growth through operating improvements and strategic initiatives.
  • Investments in technology capabilities, building partner relationships, and expanding offerings expected to pay off in the future.

Strategic Focus:

  • Focused on becoming the number one digital distributor in the world.
  • Providing comprehensive tech solutions to customers.

Macroeconomic Environment:

  • Financial situation across the world continues to be volatile.
  • Challenges such as high inflation, increased interest rates, and currency devaluation in certain operating countries. turkey mainly still achieved 2000 crore plus revenue and PAT of 12 crores in turkey
  • Redington remains well-positioned to navigate the evolving macroeconomic environment and continue growing profitably.
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