HFCL Q3 profit jumps 36% YoY, margins expand

 Indian telecom and technology company Himachal Futuristic Communications Ltd (HFCL) has reported a strong set of numbers for the December quarter, led by margin expansion and operating leverage.

The company’s

net profit rose 35.6% year-on-year to ₹97.6 crore in Q3FY25, compared with ₹73.6 crore in the same quarter last year.

Revenue from operations increased 19.6% YoY to ₹1,210.8 crore, up from ₹1,012 crore in Q3FY25, driven by healthy execution across its telecom and networking businesses.

Operating performance improved significantly during the quarter. EBITDA surged 50% YoY to ₹228.5 crore, as against ₹152.5 crore a year ago. As a result, EBITDA margin expanded to 18.9% from 15%, reflecting better cost control and an improved product mix.

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HFCL is a listed B2B Indian telecom and technology company that designs and manufactures communication products, including optical fibre and wireless equipment, and executes turnkey network projects for telecom operators and government clients.

Its solutions serve sectors such as telecom, defence, railways, aerospace, automotive, and smart city and video surveillance projects.

On the cost front, total expenses stood at ₹1,089.2 crore for the quarter. The cost of materials and services consumed was ₹408.4 crore, while purchases of stock-in-trade totalled ₹674.5 crore. This was partially offset by a ₹323.1 crore reduction in inventories. Employee benefit expenses were ₹108.2 crore.

For the nine months ended December 31, FY26, HFCL reported revenue from operations of ₹3,125.2 crore, compared with ₹3,263.8 crore in the corresponding period last year. Net profit after tax for the nine months declined to ₹145.0 crore, from ₹256.6 crore a year ago.

Shares of HFCL were trading 3.2% higher at ₹68.60 on the NSE at 2 PM on February 3, broadly in line with the benchmark Nifty 50, which was up 2.6% at 25,761.25 at the above mentioned time, amid optimism after the announcement of a reciprocal tariff cut by the US to 18% from 50%.