Homegrown optical fiber cable (OFC) and telecom gear maker HFCL on Friday reported a net loss of \u20b929.30 crore in the first quarter of fiscal year 2026 (Q1FY26), declining by 126.48% year-on-year from a net profit of \u20b9110.65 crore in the corresponding quarter a year ago.<\/p>\n
On a sequential basis, however, HFCL\u2019s net loss narrowed by 64.83%, from \u20b983.30 crore in Q4FY25 to \u20b929.30 crore in Q1FY26.<\/p>\n
\u2018While PAT (profit after tax) stood at \u20b9(29.30) crores, the performance marked significant operational improvement, and laid the foundation for a strong FY26,\u2019 HFCL said in its earnings statement. <\/p>\n
HFCL\u2019s revenue, however, declined by 24.80% year-on-year to \u20b9871.02 crore in the April-June quarter of FY26, but increased by 8.78% quarter-on-quarter. <\/p>\n
\u2018Despite macroeconomic headwinds, the company recorded revenue of \u20b9871 crores in Q1 FY26, up from \u20b9801 crore in Q4 FY25, and reported a sharp recovery in EBITDA (earnings before interest, taxes, depreciation and amortisation) at \u20b942.93 crores compared to a loss in the previous quarter,\u2019 HFCL said.<\/p>\n
The company\u2019s board separately approved fundraising of \u20b9700 crore in one or multiple tranches, to leverage emerging growth opportunities in the defence and telecom sectors, including strategic investments, and to further strengthen the company\u2019s capital base and financial position. <\/p>\n
HFCL\u2019s shares closed 4.2% lower at \u20b975.92 on the Bombay Stock Exchange (BSE) Friday. <\/p>\n
The Delhi-based domestic vendor said after several muted quarters, its OFC business rebounded strongly in Q1FY26, driven by \u20b9300 crore worth of new export orders and \u20b9210 crore in export revenues. It also won product approvals from several new international clients and received repeat orders from leading global customers, particularly across Europe and Asia. <\/p>\n
To cater to rising demand from hyperscale data centres and digital infrastructure globally, HFCL\u2019s Board approved the expansion of Intermittently Bonded Ribbon (IBR) cable capacity from 1.73 million to 19.01 million fibre kilometres per annum, increasing total OFC capacity to 42.36 million fkm per annum. <\/p>\n
According to the statement, HFCL achieved a major milestone by developing and commercially deploying indigenous MPLS routers, securing \u20b9650 crore in orders under BharatNet Phase III, and also bagging a repeat order worth \u20b9175 crore for its 5G networking gear from a domestic telecom operator. <\/p>\n
\u2018Q1 FY26 has set a strong foundation for what we believe will be a breakout year for HFCL, with 66% of our revenue coming from the product segment and exports contributing 24% to the total revenue. We expect this positive momentum to continue and strengthen in the upcoming quarters,\u2019 said Mahendra Nahata, managing director (MD), HFCL. <\/p>\n
\u2018We remain confident in our ability to deliver sustained value to all stakeholders in FY26 and beyond,\u2019 Nahata added. <\/p>\n
According to a company statement, the proceeds from the proposed fundraising will, inter alia, be strategically deployed to support various initiatives central to the company\u2019s growth agenda, including expansion through organic and inorganic means, acquisitions in related space, new business opportunities, and other strategic initiatives, repayment of debt, working capital, general corporate purposes.<\/p>\n","protected":false},"excerpt":{"rendered":"
Homegrown optical fiber cable (OFC) and telecom gear maker HFCL on Friday reported a net loss of \u20b929.30 crore in the first quarter of fiscal year 2026 (Q1FY26), declining by 126.48% year-on-year from a net profit of \u20b9110.65 crore in the corresponding quarter a year ago. On a sequential basis, however, HFCL\u2019s net loss narrowed by 64.83%, from \u20b983.30 crore in Q4FY25 to \u20b929.30 crore in Q1FY26. \u2018While PAT (profit after tax) stood at \u20b9(29.30) crores, the performance marked significant operational improvement, and laid the foundation for a strong FY26,\u2019 HFCL said in its earnings statement. HFCL\u2019s revenue, however, declined […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-950200","post","type-post","status-publish","format-standard","hentry","category-telecom"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/950200","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=950200"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/950200\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=950200"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=950200"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=950200"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}