Black Box reports 55% rise in net profit in Q1

Commenting on the results and performance, Sanjeev Verma, whole-time director, Black Box said, “Our strategic exit from low-value, non-accretive customers had a short-term impact on revenue. However, our relentless focus on productivity and margins allowed us to meet EBITDA targets and nearly achieve PAT guidance. Core operations demonstrated robust strength, with substantial growth in key areas, highlighting the resilience of our business model. We have made significant strides, investing heavily in our Go-To-Market strategy, and hiring seasoned sales and solution architects with industry-specific expertise. As we move into FY25, our focus will remain on capitalising on our strong pipeline and robust order book. With each business segment gaining momentum, we are confident in our ability to deliver enhanced performance and meet our revenue and profitability guidance.”

Deepak Kumar Bansal, executive director and global chief financial officer of Black Box, commented, “The growth in topline was affected due to delays in decision-making, leading to delayed project execution coupled with muted demand for our product business from some federal partners during the quarter. However, we continue to deliver on EBITDA and profitability over the last few quarters with strong focus on productivity and deal margins, as evidenced by a 28% YoY growth in EBITDA and 55% YoY increase in our profit after tax. We are optimistic that this trend will continue, enhancing both margins and overall profitability. Further, we secured Rs 410 crores in funding to propel growth across key focus areas and to drive expansion in the digital infrastructure sector.”