Indus Towers Limited has announced its audited consolidated results for the second quarter ended (QE) September 30, 2023. The consolidated revenue for the quarter stood at Rs 71.33 billion, down 10 per cent on a year-on-year (YoY) basis. Consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 23 per cent YoY at Rs 34.56 billion, representing an operating margin of 48.5 per cent.
The net profit for the company during the quarter was recorded at Rs 12.95 billion, up 49 per cent YoY. The operating free cash flow stood at 3.98 billion, down 69 per cent YoY. The return on equity (pre-tax) dropped to 20.4 per cent as against 32.3 per cent on YoY basis, while the return on equity (post-tax) dropped to 15.1 per cent as against 24.2 per cent YoY. The return on capital employed dropped to 14 per cent as against 19.2 per cent YoY. The revenue for Q2 FY23 included a benefit of Rs 10.76 billion from deferred recognition of revenues arising from the settlement of old dues with the customers. The same quarter also had an impact of Rs 17.71 billion due to the provision for doubtful debt.
Commenting on the results, Prachur Sah, managing director and chief executive officer, Indus Towers Limited, said, “The quarter marked Indus Towers reaching a milestone of 200,000 macro towers, reaffirming its leadership position. We are also proud to have delivered another quarter of our highest tower additions which translated into a steady financial performance. Our endeavour to capitalise on the existing opportunity arising from rapid network expansion by a major customer and 5G rollouts by operators will help in sustained value creation for shareholders.”