Route Mobile reported a strong recovery in Q2 FY26, demonstrating profitable growth and expanded margins. Revenue from operations increased by 6.5% sequentially, while gross profit margin expanded to 22.1%. EBITDA grew by 16% sequentially to INR 133 crore. The company is focused on sustainable growth through its core CPaaS business, new products, and strategic partnerships.
Financial Performance Highlights
Route Mobile’s Q2 FY26 results reflect a strong recovery and the success of its strategic recalibration. Key highlights include:
- Revenue from Operations: Increased by 6.5% sequentially.
- Gross Profit Margin: Expanded to 22.1%, a 70 basis point increase over the previous quarter.
- EBITDA: Grew by 16% sequentially, from INR 115 crore to INR 133 crore.
The company’s focus on profitable growth and strategic initiatives has resulted in improved financial performance. Profit before tax and exceptional items showed solid growth from INR 77 crore to INR 138 crore. Adjusted EBITDA margin stood at 11.9%.
Product and Market Developments
Route Mobile made significant strides in product and market expansion during Q2 FY26:
- New Product Revenue: Increased by 13.1% sequentially.
- Expanded reach in the mobility and transportation sector with new customer wins in the train and metro segment.
- Entered the bus booking segment in Bangladesh.
- Continued expansion of partnerships with global system integrators and Tech Mahindra.
Telecom API Ecosystem
Route Mobile is deepening its focus on the telecom API ecosystem, particularly through the Konera initiative of Proximus Global. This positions the company at the intersection of enterprise communication needs and telecom infrastructure services.
Strategic Focus
Route Mobile remains focused on sustainable, profitable growth with a keen eye on expanding its margin profile while growing its revenue base. The combination of its core CPaaS business strengths, emerging opportunities in network APIs, expanding product portfolio, and growing partnership ecosystem position it well for future quarters.
Source: BSE
