HFCL posts profit of over Rs 184 crore in Q4 FY26

New Delhi, Apr 30 (PTI) Telecom gearmaker HFCL has reported highest-ever consolidated profit of Rs 184.45 crore in the fourth quarter ended March 31 on account of surge in overseas business supported by new products and augmenting capacities.
     The company had posted a loss of Rs 83.3 crore in the same period a year ago.
     HFCL said that improvement in financial performance was driven by a favourable shift in revenue mix towards products, an increasing share of exports, and improved realisations in high fiber-count optical fiber cables.
     The consolidated revenue from operations more than doubled to Rs 1,824.12 crore during the reported quarter from around Rs 801 crore in the March 2025 quarter.
     HFCL recorded the highest-ever order of Rs 21,206 crore which is more than double compared to the order book of Rs 9,967 crore it reported at the end of financial year (FY) 2025.
     The company’s optical fiber cable (OFC) also recorded the highest-ever order book of Rs 13,483 crore.
     HFCL Managing Director Mahendra Nahata HFCL has transformed into a more global, technology-driven, diversified, and structurally profitable enterprise, which will drive consistent earnings growth in the years ahead.
     "We believe the strong momentum witnessed in Q4FY26 will continue in coming quarters," he said.
     Nahata said FY26 has been a defining year for HFCL, during which we delivered our highest-ever performance, achieving over 21 per cent YoY revenue growth and around 97 per cent YoY PBT (profit before tax) growth.
     "Looking ahead, we strongly believe that HFCL is entering a structurally stronger and more predictable growth phase. We are witnessing not only a substantial expansion in our order book but also improvement in its business composition , with a higher share of exports, long-term contracts, and high-margin products," he said.
     For the year ended March 31, 2026, the consolidated profit of HFCL jumped by over 90 per cent to Rs 329.44 crore from Rs 173.26 crore it reported in FY25.
     HFCL's annual revenue increased by about 22 per cent to Rs 4,949.27 crore in FY26 from Rs 4,064.52 crore in FY25.
     HFCL said that it is substantially expanding its manufacturing capacities for data centre interconnect solutions through its subsidiary, HTL Limited, which will also contribute significantly in the growth of revenue and profitability in coming quarters.
     The company expects that data centre interconnect solutions will contribute about Rs 400 crore additional revenue in FY27 and about Rs 800 crore in FY28.
     HFCL has decided to set up preform manufacturing facility as high-level backward integration, involving an estimated capital outlay of approximately Rs 580 crore as part of its long-term strategy to enhance structural competitiveness.
     During the reported quarter, HFCL has entered into a MoU to participate in defence aerospace-related opportunities.
     "Importantly, the (aerospace) business comes with established capabilities, certifications, long-standing customer relationships, and a confirmed export-oriented order book of approximately Rs 1,930 crore, providing immediate revenue visibility.
     In parallel, HFCL’s land-based defence business is entering a strong scale-up phase,"the company said.
     HFCL said that it is progressing with the establishment of an ammunition-focused manufacturing facility in Andhra Pradesh, covering products such as electronic fuzes, multi-mode hand grenades, and 155 mm artillery shells.

(This story has not been edited by THE WEEK and is auto-generated from PTI)