HFCL has announced its financial results for the quarter ended (QE) December 31, 2021. HFCL’s consolidated profit stood at Rs 811 million for the third quarter ended December 31, 2021, recording a decline of 4.7 per cent. this has been attributed to mainly hike in component prices, especially semiconductors. The company had posted a profit after tax of Rs 851.1 million in the same period a year ago.
On standalone basis, the company reported a revenue of Rs 11.07 billion, EBIDTA of Rs 1.39 billion, profit before tax (PBT) of Rs 947.9 million and profit after tax (PAT) of Rs 701.2 million, as against revenue of Rs 11.89 billion, EBIDTA of Rs 1.49 billion, PBT of Rs 972.9 million and PAT of Rs 750.4 million for third quarter ended December 31, 2020.
Meanwhile, for the nine months ended December 31, 2021, the company reported consolidated revenue of Rs 35.44 billion, EBIDTA of Rs 5.39billion, PBT of Rs 3.48 billion and PAT of Rs 2.57 billion as against revenue of Rs 30.31 billion EBIDTA of Rs 3.97 billion, PBT of Rs 2.18 billion and PAT of Rs 1.59 billion for nine months ended December 31, 2020.
Also, for the nine months ended December 31, 2021, the company reported standalone revenue of Rs 32.20 billion, EBIDTA of Rs 4.43 billion, PBT of Rs 2.99 billion and PAT of Rs 2.21 billion as against revenue of Rs 28.28 billion, EBIDTA of Rs 3.36 billion, PBT of Rs 1.86 billion and PAT of Rs 1.40 billion for nine months ended December 31, 2020.
Commenting on the company’s performance, Mahendra Nahata, managing director, HFCL, said, “Although the demand in the economy is coming back gradually, we had a strong quarter with growth in revenues. The margins during the quarter got slightly impacted followed by increased logistic costs and increase in fibre and semi-conductor prices. In order to expand capacities and build network solution capabilities to tap the upcoming opportunities in telecom and defence sectors, the company has raised Rs 6 billion via QIP and I am thankful to all the investors for their overwhelming support and faith posed in HFCL’s long term growth strategy. We are also well on track to shift our revenue mix from more of EPC to more of products and looking for significant growth in coming years. The company is also constantly working on expanding its global market access and appointed global leaders in US and Europe to boost its OFC and telecommunication product sales. The board has considered and approved the company’s plan for expansion of fibre manufacturing capacities from 10mn fkm p.a. to 22 mn fkm p.a. and consolidated OFC manufacturing capacities from 24.75 mn fkm p.a. to 34.75 mn fkm p.a. with an overall capital outlay of approximately Rs 4.25 billion. We remain optimistic about the outlook of the sector. The government’s approval for our PLI scheme candidature will help us in improving our competitiveness, collaborate with new players and venture into new geographies. HFCL has secured approval from NSCS as a ‘trusted source’ and we are fully committed to continue serving our TSP partners. The development will lead to cement HFCL’s position further in the telecom sector thereby amplifying the growth opportunities for HFCL. Our inclusion in the select list as one of the trusted sources, is a distinguished achievement and reinforces our commitment to delivering make-in-India world-class products/solutions and contribute to our Hon’ble PM’s vision of an Atmanirbhar Bharat.”
