Route Mobile slips into Rs 18.8 crore loss in Q2

Mumbai, Nov 4 (IANS) Cloud communication platform provider Route Mobile Limited on Tuesday reported a net loss of Rs 18.83 crore for the second quarter (Q2) of FY26, marking a sharp fall from the Rs 107.03 crore profit posted in the same quarter last fiscal (Q2 FY25).

The company’s revenue from operations stood at Rs 1,119.42 crore for the quarter ended September 30, slightly higher than Rs 1,113.41 crore in Q2 FY25, according to its exchange filing.

Despite the marginal rise in revenue, Route Mobile’s profitability declined significantly, with Profit Before Tax (PBT) dropping to Rs 2 crore from Rs 137.34 crore in the year-ago period.

The company attributed the sharp fall in profits to shifting carrier dynamics and intense competition in the industry.

Chairman Mark James Reid said that while market conditions remain challenging, the company continues to rely on its diversified business model and focus on innovation to maintain momentum and adapt to changing dynamics.

On a sequential basis, Route Mobile’s performance showed improvement. Revenue rose from Rs 1,050.83 crore in Q1 FY26 to Rs 1,119.42 crore in Q2 FY26.

The company’s EBITDA, excluding exceptional items, also improved to Rs 135.95 crore in the September quarter from Rs 93.90 crore in the previous quarter.

The EBITDA margin stood at 12.14 per cent, as per its regulatory filing.

Managing Director and CEO Rajdipkumar Gupta credited the company’s teams for their strong execution and customer focus.

“We are successfully addressing evolving market dynamics with agility and focus. Our differentiated strategy continues to help us deliver value to our customers,” he said.

Despite near-term challenges, Route Mobile’s management expressed confidence in its long-term growth strategy.

Along with the quarterly results, the company also declared a second interim dividend of Rs 3 per share.

The record date for the dividend has been fixed as November 10, and the payout will be made within 30 days of declaration, according to the company’s statement.

--IANS

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