Route Mobile Q3 Results: Net profit jumps 33% YoY to Rs 113.6 crore
Route Mobile on Tuesday reported a 33% on-year jump in net profit at Rs 113.6 crore for the December quarter, helped by a Rs 15 crore exceptional gain.
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The company’s quarterly revenue from operations was up almost 4% on-year to Rs 1024.3 crore.
“PAT in Q3 FY24 was boosted by exceptional items amounting to Rs 15 crore, representing the fair value gain, as on December 31, 2023, of the contingent consideration payable towards the acquisition of 100% equity stake in M.R Messaging FZE,” the company said in a statement on Tuesday.
Meanwhile, its earnings before interest and taxes (EBITDA) declined by 2.2% on-quarter basis.
“It was a slightly muted performance, considering Q3 is historically our best quarter,” said Rajdipkumar Gupta, Managing Director & Group CEO, Route Mobile.
This, he said, is due to industry headwinds and delays in a couple of the company’s large contracts going live. “We have recently onboarded some large customers in Asia and Europe and they should gradually ramp up”.
Gupta added that the results are boosted by growing adoption of channels like WhatsApp and RCS (rich communication service).
“…some of our latest contract wins are equivalent to the monthly revenues of these product lines. The evolving messaging landscape is creating exciting opportunities for us to welcome numerous new clients to our omnichannel platform,” he added.
On the Proximus Group’s acquisition of a majority stake in Route Mobile, Gupta said, vital US approvals had come in the company is in striking distance of the deal closure. “A couple of regulatory approvals from the Middle East are awaited anytime soon.”
The Belgian government-owned telecom major,
