New Delhi, 11 February (IANS). Black Box, a technology company of Essar Group, announced the financial results of the third quarter on Tuesday. The company’s net profit increased by 37 percent to a record level of Rs 56 crore on a year-on-year basis.
According to the information given to the stock exchange, the company’s net profit increased by 49 percent to Rs 144 crore in the first nine months of FY 2024-25.
The net profit margin increased by 1.20 percent and it stood at 3.7 percent in the third quarter, while the net profit margin increased by 1.3 percent to 3.3 percent for the first nine months of FY 2024-25.
The company has told the stock market that as a result of better operating performance, profits have increased despite increasing spending in special items.
Revenue for the third quarter stood at Rs 1,502 crore, compared to a year ago (the third quarter of FY 2023-24) it was Rs 1,655 crore.
Revenue for the first nine months of FY 2024-25 was Rs 4,422 crore as compared to Rs 4,801 crore in the same period of the previous financial year.
Revenue was mainly affected due to a decrease in the order book as a result of the company’s delay in decision making with some big customers. Also, the company’s strategy to shut down business with tail customers (small customers) was also seen.
However, the company’s pipeline for digital infrastructure in all areas of the industry, including Hypersscalers (large data centers), is steadily increasing, making the black box ready for continuous growth and market leadership.
The company said that by December 2024, the order book was $ 46.5 million (about Rs 3,900 crore).
The leading digital infrastructure solution provider had an EBITDA 15 percent increase in the third quarter to Rs 134 crore.
EBITDA increased by 25 percent for the first three months period of FY 2024-25 and it stood at Rs 384 crore.
The EBITDA margin increased by 1.30 percent in the third quarter and stood at 8.9 percent, while for the first nine month period of FY 2024–25 it was 2.30 percent to 8.7 percent.
The company said that EBITDA margin has improved due to better efficiency and better productivity.
Black box said that the focus of the company on continuous improvement and productivity measures has led to a significant increase in both EBITDA and net profit.
Black box full -time director Sanjeev Verma said, “The rapid progress in AI and the ongoing growth in the region expects a global jump in the demand for AI equipment in businesses.
“As a result, the need for strong digital infrastructure will accelerate. As a result, Hypersscaler AI is investing significant capital in infrastructure and data centers, making the financial year 2028-29 to reach our growth target of two billion dollars in revenue by financial year 2028-29. Our faith is getting stronger. “
Deepak Kumar Bansal, Executive Director and Global Chief Financial Officer of Black Box, said, “Our continuous focus on the improvement in operating performance helped us achieve the most quarterly net profit. The company has strong ROs in the last few years. And has created ROCE, and is committed to the shareholders to generate positive cash flow and better returns.
Black box is taking advantage of the increasing demand for digital infrastructure, especially in the context of adopting AI. Recently, the company was awarded three major American sites by one of the world’s leading Hypersscalers for the new data center build-out and also received orders of Rs 250 crore.
-IANS
Acade/