Redington Limited CC-Sep23.pdf · 2023-11-07
So, the three questions were , one was on demand and the second was on the new product introduction and the third one was on margin improvements . Let me try and take each one separately. So, we look at some of the theaters that we are in the demand environment continues to be strong. So, namely India, and UAE, Saudi Arabia, demand continues to be strong. And this is across all categories. As I mentioned, technical solutions group the demand is strong. The cloud has high growth and so is the mobility with the new product i ntroductions. Endpoint solutions group is the only place that we see muted demand, partly driven by the global organizations not buying PCs at the same pace, as we expected. Specifically as a new product introductions, they’re all about the mobility products and you are aware there are a number of big brands that have introduced products in the last month. And the acceptance of the product is really good. And we are just fulfilling demand in a way, whatever supply we get is going out of the door. So, the acceptance of the product s is very good. We expect margins to be staying at the current levels in most of these businesses gross margins, we don’t see any deterioration in any of the businesses that we are seeing, and we are closely watching it and as Krishnan said earlier, we are going after profitable growth. So, we are trying not to gain share at the expense of compromising on margin.
So, in terms of strategy and directions, we had embarked on a few things as we have discussed in the call and before . One is clearly cloud, there is a lot of growth on cloud. And right now, within cloud, we work with the hyper scalers on the resell and driving the consumption. That ’s clearly one strategy we will continue. Second is we see a lot of headroom on technical solutions, and across all theatres, and we continue to look at how to step that up and see what kinds of solutions we can pl ay in both product solutions, and related adjacencies. In terms of the other areas, specifically in the endpoint solutions group, there are a lot of emerging solutions, like gaming, like wearable’s, et cetera. Clearly, we will play a role in those and those are good opportunities for us. And on mobility, we also see good traction on Android, as well. And we will continue to play on Android solutions as a growth area. We did embark on digitalization, and I did mention that, but we will fine tune our i nvestments in digitalization, but continue to play there as a way to reach our smaller partners and our growth brands, as I’ve mentioned. Now, in terms of my motivation, clearly I have been associated with Redington and it was a company that I ’ve always admired. It ’s in multiple theaters, complex business, managing the business really well, balancing between risk and return. And when an opportunity presented itself and the Board was reviewing the candidates, and they asked me if I would be interested, and I said definitely and I ’m honored to actually lead the company. So, the motivation is to be able to drive and lead a global distribut or to a much better place. The opportunity in all the theaters is great, the industry is transforming and with my background and experience, I ’ve worked across consumer, SMB, and enterprise and I’ve worked across PCs, printers, Unix boxes in my past 30 years, I thought I’ll be able to contribute and play a role in the growth of Redington.