HFCL's Q2 FY 2025-26 Quarterly Results

Result Summary

• HFCL Ltd reported a 19.3% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a decline of 4.6%.
• Its expenses for the quarter were up by 2.1% QoQ and down 5.6% YoY.
• The net profit decreased 345.5% QoQ and decreased 1.9% YoY.
• The earnings per share (EPS) of HFCL Ltd stood at 0.47 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

HFCL Ltd, also known as Himachal Futuristic Communications Limited, is a leading player in the telecommunications industry. The company is primarily engaged in the manufacturing of a wide range of telecom equipment, optical fiber cables, and providing related services. HFCL Ltd has a broad product portfolio that supports telecommunications infrastructure, which includes products like optical transport products, radio access networks, and broadband access solutions. The company is known for its significant role in enhancing the telecommunication infrastructure across India. As for recent developments, specific information is not available in the provided data.

Revenue

In the second quarter of the fiscal year 2026 (Q2FY26), HFCL Ltd reported a total income of ₹1056.38 crores. This represents a substantial quarter-over-quarter (QoQ) increase of 19.3% compared to ₹885.55 crores in Q1FY26. However, when comparing year-over-year (YoY) performance, there is a 4.6% decline from ₹1107.19 crores in Q2FY25. The revenue figures indicate a robust recovery in terms of sequential growth, although there is a slight dip when compared to the same quarter in the previous year.

Profitability

HFCL Ltd's profitability metrics for Q2FY26 reveal that the company achieved a profit before tax of ₹106.54 crores. This is a significant improvement from a loss before tax of ₹44.89 crores in Q1FY26, marking a dramatic turnaround with a QoQ increase of 337.3%. Compared to the same quarter in the previous year, there is a 5.0% increase from ₹101.46 crores in Q2FY25. The profit after tax for Q2FY26 stands at ₹71.92 crores, reversing a loss of ₹29.30 crores in Q1FY26, indicating a QoQ improvement of 345.5%. However, there's a slight YoY decline of 1.9% from ₹73.33 crores in Q2FY25. The earnings per share for Q2FY26 is ₹0.47, which shows a recovery from a negative EPS of ₹0.22 in Q1FY26 and a YoY decrease of 7.8% from ₹0.51 in Q2FY25.

Operating Metrics

The operating expenses for HFCL Ltd in Q2FY26 amounted to ₹949.84 crores, marking a modest QoQ increase of 2.1% from ₹930.44 crores in Q1FY26. In comparison to Q2FY25, there is a YoY decrease of 5.6% from ₹1005.73 crores, reflecting effective cost management or a reduction in operational activities. The tax expense for Q2FY26 was ₹34.42 crores, which is notably higher compared to the tax credit of ₹15.40 crores in Q1FY26, resulting in a QoQ change of 323.5%. On a YoY basis, there is an 18.1% increase from ₹29.14 crores in Q2FY25. These figures highlight the company's ability to manage its expenses and tax obligations effectively, despite the fluctuations in income and profitability.