Black Box Q1 PAT Rises 55% YoY

IT solutions provider Black Box has revealed that its profit after tax (PAT) soared by 55 per cent year-over-year (YoY) in Q1 FY25, reaching Rs 37 crore, up from Rs 24 crore in Q1 FY24. PAT margins rose to 2.6 per cent, an increase of 110 basis points compared to the prior year.

This operational performance has supported overall profitability. The company showed financial resilience, with 28 per cent YoY growth in EBITDA, amounting to Rs 115 crore for Q1 FY25. EBITDA margins also saw an improvement of 240 basis points YoY, reaching 8.1 per cent .

Black Box’s ongoing commitment to enhancing margins and productivity is apparent, with aspirations to achieve a 9 per cent EBITDA margin by the conclusion of FY25. Revenue for Q1 FY25 was recorded at Rs 1,423 crore, a decrease from Rs 1,571 crore in Q1 FY24. Nevertheless, the company’s order pipeline remains strong, with the order book expanding to USD 475 million as of 30 June 2024.

During the quarter, the company secured several contracts, including approximately USD 11 million from Data Centre and In-Building 5G solutions. Additionally, deal wins from Digital Workplace, Connected Building, CX, Networking Solutions, On-Demand Solutions, and Managed Services totalled around USD 13 million, while KVM Solutions contributed about USD 4 million. Black Box continues to be a key investment for Essar in the technology sector.

Further, the Board has proposed the appointment of M/s. M S K A & Associates, Chartered Accountants (an independent member firm of BDO International), as the Statutory Auditors of the Company, replacing the retiring auditors, M/s. Walker Chandiok & Co. LLP, Chartered Accountants. This appointment is set for a period of five consecutive years, commencing from the conclusion of the 38th Annual General Meeting (AGM) until the conclusion of the 43rd AGM, which is scheduled for the financial year 2028-29, pending approval from shareholders at the upcoming AGM.