Redington Recommends ₹6 Final Dividend; Q4 FY26 Profit Rises 14% YoY as Revenue Crosses ₹33,000 Cr 

Synopsis: Redington Limited reported a healthy set of Q4 FY26 numbers with steady growth in revenue and profitability despite a challenging global technology demand environment. The company posted consolidated revenue of Rs. 33,213 crore during the March quarter, while net profit came in at Rs. 287.58 crore. The board also recommended a final dividend of Rs. 6 per equity share for FY26. 

Redington Limited is one of India’s leading technology solutions providers and distributors with operations spread across India, the Middle East, Africa, and other international markets. The company distributes IT products, cloud solutions, mobility devices, and enterprise technology offerings for several global brands. 

Redington Limited has a market capitalization of Rs. 17,004 crore, with the stock trading around Rs. 210, no further movement compared to the previous close of Rs. 210. The stock has delivered strong long-term movement, although it still remains nearly 35.64% below its 52-week high of Rs. 335. 

The company maintains healthy profitability metrics with an ROCE of 18.9% and ROE of 14.4%, reflecting efficient capital utilisation and stable business performance. Redington also offers an attractive dividend yield of 3.09%, while its price-to-earnings ratio currently stands at 12.1. 

During Q4 FY26, Redington reported consolidated revenue from operations of Rs. 33,213 crore, registering a growth of nearly 7.6% on a quarter-on-quarter basis compared to Rs. 30,922 crore reported in Q3 FY26. On a year-on-year basis, revenue increased strongly from Rs. 26,440 crore reported in Q4 FY25, highlighting steady demand across its technology distribution and mobility businesses. 

The company’s total income stood at Rs. 33,269 crore during the quarter, while total expenses came in at Rs. 32,721 crore. Profit before tax for the quarter was reported at Rs. 395 crore. Net profit came in at Rs. 287.58 crore, compared to Rs. 413 crore in the previous quarter and Rs. 917.74 crore in the corresponding quarter last year. The decline in profitability was mainly due to exceptional items and margin pressure in certain segments. 

The board of directors recommended a final dividend of Rs. 6 per equity share having a face value of Rs. 2 each for FY26. The dividend is subject to shareholder approval at the upcoming Annual General Meeting (AGM). Redington has consistently maintained shareholder payouts, supported by strong cash flows and stable operational performance. 

Industry Outlook

India’s technology and IT ecosystem continues to witness strong growth supported by digital transformation, AI adoption, and increasing global outsourcing demand. India’s AI market is expected to reach US$ 28.8 billion by 2025 with a CAGR of 45%, while the country’s software product industry is projected to touch Rs. 8.62 lakh crore (US$ 100 billion). 

The sector is also benefiting from rising investments and global expansion opportunities. India’s technology industry is expected to double its revenue to Rs. 43.1 lakh crore (US$ 500 billion) by 2030. 

In addition, India secured investment commitments worth Rs. 5.96 lakh crore during international partnerships focused on semiconductors, AI, and digital infrastructure, which could further strengthen long-term demand for technology distribution and enterprise solutions. 

Redington delivered a stable operational performance in Q4 FY26 with strong revenue growth and continued expansion across its core technology distribution business. Despite some pressure on quarterly profitability, the company maintained healthy margins, strong return ratios, and robust annual revenue growth. 

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