Redington Ltd: ₹1 Lakh Crore Sales, 2% Margins, Now Selling Sunshine Too
1. At a Glance
Redington Limited is like that neighbourhood uncle who sells everything from SIM cards to solar panels. Started as an IT distributor, today it’s a ₹1 lakh crore turnover behemoth running on wafer-thin margins (2% OPM, blink and you’ll miss it). They’re India’s middleman-in-chief for Apple, HP, Dell, Lenovo, Samsung — basically anyone who makes gadgets. And just when you thought they couldn’t diversify further, they’re now bundling rooftop solar kits with Websol Energy. From iPhones to inverters — the glow-up is real.
2. Introduction
Imagine running a business where you move ₹1,04,000 crore worth of goods but at the end of the year you keep barely ₹1,200 crore. That’s Redington for you. It’s like being the shaadi caterer — you do all the heavy lifting, and someone else gets the compliments.
Redington’s entire game is scale + relationships. They don’t make iPhones, laptops, or servers; they just ensure these goodies travel from foreign factories to Indian shops without getting “lost” in customs. The company is present across 32 countries, is the No.1 or No.2 distributor in every market, and has a warehouse empire spanning 200+ facilities and 7.7 million sq. ft.
But here’s the real twist — while tech distribution margins are thinner than Amul butter, Redington keeps reinventing. After cloud, fintech, and supply chain services, they’ve now partnered with Websol Energy to sell solar kits for Indian rooftops. Subsidies of up to ₹78,000 per home? Not bad. They might just turn your terrace into the next iStore.
3. Business Model (WTF Do They Even Do?)
Think of Redington as the DHL + Amazon + kirana store of technology:
End-Point Solutions Group (36.6%) → PCs, printers, consumables. Translation: the boring but steady business.
Technology Solutions Group (30%) → Servers, storage, networking. The “B2B engineer zone.”
Mobility Solutions Group (34.3%) → Smartphones, primarily Apple, Samsung, Lenovo. This is where the real juice is (Apple alone = 29% revenue).
Cloud Solutions Group (4.1%) → Reselling AWS, Zoho collabs, software. High growth, but still a small base.
Renewable Energy (0.2%) → Solar panels, now “Websol rooftop kits.” Basically pilot project territory.
Logistics & Supply Chain (1.1%) → Warehousing and ProConnect solutions.
Other Services (1.2%) → Fintech (Paynet), IT services, shared services.
So, 98% distribution, 2% experiments. Sounds like your college fest budget: 98% on DJ, 2% on “social cause.”
4. Financials Overview
Quarterly Snapshot (Q1 FY26 vs Q1 FY25 & Q4 FY25):
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue
₹25,952 Cr
₹21,282 Cr
₹26,440 Cr
21.9%
-1.8%
EBITDA
₹400 Cr
₹371 Cr
₹597 Cr
7.8%
-33.0%
PAT
₹233 Cr
₹217 Cr
₹918 Cr*
7.4%
-74.6%
EPS (₹)
3.52
3.15
8.51
11.7%
-58.6%
*Mar’25 PAT inflated by one-time “Other Income” bonanza (₹696 Cr).
Commentary: Margins tighter than jeans after Diwali. YoY growth is decent (thanks to smartphones and cloud), but QoQ looks weak because last quarter’s “lottery income” isn’t repeating. EPS annualised = ₹14.1 → P/E = ~17x. Industry P/E? 39x. Discount ka dukaan.
Disclaimer: For educational purposes only, not investment advice.
6. What’s Cooking – News, Triggers, Drama
Solar Rooftop Partnership: Redington Solar + Websol Energy → solar kits (2kW–10kW) with subsidies up to ₹78,000. Kits include panels, inverters, BoS accessories. Distribution network = instant reach. It’s like Redington saying, “Buy an iPhone, also get a rooftop power
