Route Mobile announced its Q3 FY25-26 financial results, detailing performance through December 31, 2025. Key takeaways include substantial growth in Gross Profit Margin, reaching 24.5% in Q3, driven by recovering ILDO business and higher-margin customer retention. Adjusted PAT saw a robust 20% Y-o-Y growth. The company also highlighted expansion in its global footprint and the successful deployment of new platform solutions across various sectors.
Route Mobile Investor Update Summary
Route Mobile Limited has shared its investor presentation for the quarter and nine months ended December 31, 2025. The update underscores strategic focus areas, including margin expansion and continued platform development, alongside key financial metrics.
Global CPaaS Platform Capabilities
Route Mobile reinforces its position as an industry leader with several key operational metrics as of December 31, 2025:
- Revenue (LTM): ₹44,523 mn
- EBITDA (LTM): ₹5,237 mn
- Billable Transactions (9MFY25-26): 129.5 bn
- Client Base: Over 2,700+ active billable clients across 20+ locations.
- Network Reach: Access to over 900+ MNOs via 280+ direct MNO connects.
- Financial Health: Cash reserves of ₹12,877 mn; >100% CFO / EBITDA conversion in 9M FY25-26.
- Shareholder Value: Board recommended an interim dividend of ₹3 per share.
Key Developments in Q3 FY25-26
The third quarter saw significant product deployments:
- Launch of a fully-fledged intelligent admissions Chatbot for a leading multi-disciplinary university in India.
- Launch of a WhatsApp-based trade-in journey for a global mobile phone company, capturing instant sales.
- Deployment of India’s first ferry ticketing on WhatsApp for a state-owned waterways organization, enabling UPI payments and instant e-tickets.
- Last mile delivery solutions on WhatsApp for large retail brands, including a self-serve chatbot and a multi-account framework for hyper-local engagement across 12 mall outlets.
Revenue Performance Analysis
Analysis of the Q3 FY25-26 performance shows:
- Revenue: Decreased by 6.5% Y-o-Y and 1.1% Q-o-Q to ₹45.1 bn (Billable Transactions: 11,071 # bn).
- The decline in ILDO revenue was partially offset by growth in domestic India business and rest of world termination.
Margin and Profitability Expansion
Gross Profit and Profitability metrics showed strong positive trends:
- Gross Profit Margin: Expanded significantly to 24.5% in Q3 25-26 (up from 22.1% in Q2 25-26), reflecting recovery actions and focus on higher-margin traffic. Gross Profit rose 9.8% Q-o-Q.
- Adj. EBITDA Margin: Improved to 12.9% in Q3 25-26 (from 11.9% in Q2 25-26), an increase of 7.2% Q-o-Q and 3.5% Y-o-Y.
- Adj. PAT Margin: Rose to 9.3% (from 9.0% in Q2 25-26), marking a 20% Y-o-Y increase.
Nine Month (9M) FY 25-26 Financial Summary
For the nine months ending December 31, 2025, key figures compared to 9M 24-25 are:
- Revenue: ₹129.5 bn (down 3.6% Y-o-Y)
- Gross Profit: ₹7,434 mn (up 2.6% Y-o-Y) with Margin at 22.7%.
- Adj. EBITDA: ₹3,916 mn (down 4.1% Y-o-Y) with Margin at 11.9%.
- Adj. PAT: ₹2,617 mn (down 2.1% Y-o-Y) with Margin at 8.0%.
Customer Base Diversity and Concentration
The company maintains a diverse revenue contribution:
- Top Industry Contributor (9M 25-26): FinServ at 15%.
- Geographic Revenue Split (by termination): India contributes the largest share at 47%.
- Geographic Revenue Split (by HQ continent): Americas leads with 39%, followed by Asia at 34%.
Client Concentration Stability
Client concentration remained stable across periods:
- The Top 50 clients consistently contribute approximately 76% of revenue.
- The Top 5 clients represent 33% of revenue in 9M FY25-26 (Annualized).
Human Resource Capital
As of December 31, 2025, the company employed 784 people, with 511 in India and 273 International. Key functional breakdowns include 328 in Sales & Marketing and 253 in Tech & Tech Support. Q3 FY25-26 saw 32 new joiners and 39 departures.
Source: BSE
