HFCL has released its consolidated financial results for the second quarter (Q2) of financial year (FY) 2025. As per the company, its revenue stood at Rs 10.94 billion in Q2 FY 2025 as compared to Rs 11.11 billion in Q2 FY24, showing a decrease of 1.61 per cent year-on-year (YoY).
Meanwhile, earnings before interest, depreciation, tax and amortisation stood at Rs 1.72 billion in Q2 FY25, increasing by 14.72 per cent YoY from Rs 1.50 billion in the corresponding quarter last year. EBITDA margin was 15.71 per cent as compared to 13.47 per cent in the reported period, an increase of 224 bps.
Profit after tax increased to Rs 730 million, registering a 4.5 per cent YoY growth from Rs 700 million in the corresponding quarter last year. Furthermore, PAT margin stood at 6.71 per cent as compared to 6.31 per cent in the reported period, an increase of 40 bps.
Commenting on the results, Mahendra Nahata, managing director, HFCL, said, “Q2 was marked by few significant milestones. HFCL delivered one of the world’s largest advanced broadband network gateway projects for Bharat Sanchar Nigam Limited (BSNL). HFCL also entered into a strategic partnership with General Atomics Aeronautical Systems Incorporated (GA-ASI), US, to develop critical sub-systems for one of the world’s most sophisticated unmanned aerial vehicles (UAVs). This partnership underscores our capabilities in defense sector and opens more export opportunities for us. We are also in advanced stage of discussions for export of our indigenously designed and developed Electronics Fuzes in the global market.”
He further added, “During the quarter under review, we delivered steady performance despite the ongoing softness in demand for optic fibre cables (OFCs) worldwide. Further, monsoon season in several parts of the country impacted execution of work, causing some revenue to spill over into the next quarter. The company has started receiving global enquiries for OFCs indicating early signs of recovery in the coming quarters. Going ahead, our focus on launching new products, conscious shift towards margin-accretive products, increasing our share of private customers and expanding our international business will definitely result in improved revenue and profitability.”
