Mumbai: Black Box Limited, Essar’s technology arm and a leading digital infrastructure solutions provider, has announced its unaudited financial results for the quarter and half year ended September 30. The company reported a resilient performance with strong quarter-on-quarter growth in revenue, operating profit and net profit.
With its transformation programme now stabilised and a sharper go-to-market strategy in place, Black Box is shifting focus toward sustained revenue acceleration and a higher-quality business mix through FY26. Supported by strong order wins, a rising backlog, solid execution, and deeper client engagement, the company expects a robust second half.
Revenue for Q2 FY26 rose to ₹1,585 crore, up from ₹1,387 crore in Q1 FY26 — a 14% increase QoQ and 6% YoY. The rebound was aided by normalised tariff conditions and the clearance of earlier execution delays, bringing operations back on track ahead of H2.
The company expects H2 FY26 to outperform the first half, driven by a strong order pipeline, improved visibility, and enhanced execution.
EBITDA and Margins
EBITDA for Q2 FY26 came in at ₹143 crore, up from ₹116 crore in Q1 — a 23% QoQ and 6% YoY rise. EBITDA margin improved to 9%, up 60 bps from 8.4% in Q1. The gains were supported by higher revenue throughput, improved fixed-cost absorption, and a balanced business mix. Black Box sees further scope for incremental margin expansion through H2.
Profit After Tax (PAT)
PAT for the quarter was ₹56 crore, compared to ₹47 crore in Q1, representing 17% QoQ and 9% YoY growth. With revenue expected to accelerate in H2, the company projects PAT to grow faster than the topline, aided by margin normalisation and improved revenue quality.
Business and Operations
Order momentum continued to strengthen, with the backlog rising to ₹4,846 crore (US$555 million) at the end of Q2, up from ₹4,523 crore in Q1. Quarterly order bookings stood at ₹1,906 crore (US$218 million), up from ₹1,536 crore in Q1.
Key order wins included major extensions from large global financial services and hyperscaler clients for networking, connectivity, and digital infrastructure. The company also secured digital workplace orders from a U.S. county government and a healthcare institution. Financial services, healthcare, and data centers remained strong contributors. New clients in India’s education and municipal sectors further expanded its reach.
Partnership With Wind River
Black Box entered a global strategic partnership with Wind River, an Aptiv company and a leader in intelligent edge software. The alliance grants Black Box the rights to sell Wind River’s solutions globally, with preferred partner status in India and the Middle East. A separate agreement covers global end-user engagement management.
The partnership is expected to generate ₹1,350 crore in revenue over the next five years (around US$30 million annually), bolstering Black Box’s capabilities in edge, cloud, and AI-driven solutions.
Leadership Commentary
Sanjeev Verma, Executive Director & CEO, said:
“Q2 FY26 has been a strong quarter, with revenue up 14% sequentially and broad-based growth across key markets. Our transformation journey is driving sustained, profitable momentum. With solid execution, deep client partnerships, and a healthy pipeline, we remain confident of meeting our FY26 goals.”
Deepak Bansal, CFO, added:
“We delivered strong revenue growth in Q2 backed by a healthy order backlog, with EBITDA margins at 9%. Our performance reflects operational discipline and the benefits of ongoing transformation. We remain focused on growth with prudent capital deployment.”
