New Delhi: Communication services firm Route Mobile on Wednesday posted a 27.44 per cent jump in consolidated profit after tax to Rs 34.3 crore for the first quarter ended June 30, 2021, according to the company's regulatory filing. The company had registered a profit of Rs 26.9 crore in the corresponding quarter a year ago.
During the latest quarter, the tax department asked Route Mobile to pay goods and services tax (GST) under reverse mechanism on the purchases of messages from its foreign vendors and sale to its overseas customers, of over Rs 33 crore, excluding the interest for the period between July 2017 and March 2019.
"In the assessment of the management, which is supported by legal opinion, the aforementioned services are not chargeable to goods and services tax and accordingly, no provision for liability has been recognised in the accompanying consolidated financial results," the company said in its financial performance report.
Route Mobile's revenue from operations grew around 22 per cent to Rs 377.5 crore during the reported quarter, from Rs 309.6 crore in the corresponding quarter of 2020-21.
"Even in these unprecedented times, we are poised to capitalise on the growing need to simplify communications, by introducing next-level solutions driven by the digital acceleration across markets, with an aim to deliver superlative customer experience," Route Mobile Managing Director and Group CEO Rajdipkumar Gupta said.
Source:economictimes.indiatimes.com