HFCL (HFCL) Q4 24/25 earnings summary

Executive summary

• Leading supplier of optical fiber cables in India, diversified across telecom, defense, and system integration in 60+ countries, with strong R&D and ESG initiatives.

• Positioned for growth in telecom, defense, and data center connectivity, leveraging India's policy support and global demand trends.

• Strategic shift towards higher-margin private and export customers, and product-led revenue for improved margins and growth.

• Board approved audited financial results for Q4 and FY25, with unmodified audit opinions from statutory auditors.

• Dividend of 10% (Re. 0.10 per share) recommended for FY25, subject to shareholder approval.

Financial highlights

• FY25 consolidated revenue was ₹4,064.52 crore, down from ₹4,465.05 crore in FY24; PAT at ₹173.26 crore, down from ₹337.52 crore.

• EBITDA for FY25 at ₹506.75 crore (12.47% margin), down from ₹682.13 crore (15.28%) in FY24.

• Q4 FY25 revenue at ₹800.72 crore, a 39.6% decline year-over-year; Q4 FY25 PAT at -₹83.30 crore.

• Order book increased to ₹9,967 crore in FY25 from ₹7,685 crore in FY24.

• Cash and cash equivalents at FY25 end: consolidated ₹70.52 crore.

Outlook and guidance

• Expects 25%-30% overall revenue growth in FY26, with major growth from Q2 onward.

• Fiber optic cable and associated business revenue projected to grow by about 100% in FY26, driven by data center and export demand.

• Expanding manufacturing capacity for optic fiber and cables, targeting 14 mn fkm and 35 mn fkm p.a. respectively.

• Margins expected to remain stable at FY24 levels.

• Dividend payout of 10% proposed, to be paid within 30 days of AGM approval.