HFCL has announced its financial results for the quarter ended March 2021 as well as the financial year (FY) 2020-21. The company’s consolidated net profit increased from Rs 851.1 million during the quarter ended December 2020 to Rs 864.7 million during the quarter ended March 2021, reporting an increase of 1.6 per cent.
Further, HFCL’s total revenue increased from Rs 12.77 billion to Rs 13.91 billion during the same period, reporting a quarter-on-quarter increase of 8.9 per cent. Meanwhile, the company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 6.1 per cent from Rs 1.77 billion during the quarter ended December 2020 to Rs 1.88 billion during the quarter ended March 2021.
For the FY ended March 2021, the company reported a 15.2 per cent increase in revenue from Rs 38.39 billion during the FY ended March 2020 to Rs 44.23 billion during the FY ended March 2021. Further, the company reported a 3.8 per cent increase in the net profit, which grew from Rs 2.37 billion to Rs 2.46 billion during the same period. Moreover, the company’s EBITDA increased from Rs 5.16 billion to Rs 5.86 billion, recording an increase of 13.5 per cent on a yearly basis.
The company reported that it has a strong order book of Rs 68.75 billion with an attractive pipeline ahead. The company’s emphasis is to design and develop new generation telecom and defence products by its own R&D, having promising opportunities across industries like telecom, railways and defence.
Commenting on the company’s performance, Mahendra Nahata, managing director, HFCL, said, “We are pleased to share our continued progress, as reflected in our strong top line growth with consistent margins and profitability. Our R&D efforts for constant innovation, fortitude to pursue growth even amid the challenges of the Covid-19 pandemic and faith of our customers have been core drivers to our success. The company’s outlook is very optimistic given the increasing demand for optical fibre cables and telecom equipment, not only in India but also from overseas market as shift to digital economy has accelerated globally. Apart, from this, the company’s defence equipment initiative will contribute to government of India’s emphasis on Make in India Program. With sharp focus on new products, new customers and new geographies, we are excited about the growth trajectory going forward. Transformational projects like PM WANI when viewed in conjunction with BharatNet and added to that, the upcoming 5G opportunity will significantly boost the company’s prospects. The government’s policies such as PLI for telecom sector and boost to Make in India program will provide strong tailwinds to domestic telecom equipment manufacturing. The company sees India as the next innovation and manufacturing hub for telecom products and HFCL is fully prepared to serve the needs of its customers in India and abroad.”
