New Delhi:– HFCL Limited (BSE: 500183, NSE: HFCL), a leading telecom infrastructure and defence equipment manufacturer, reported strong financial performance for the third quarter ended 31 December 2025 (Q3 FY26). The company’s consolidated net profit surged 41% year-on-year to ₹102.37 crore, driven by robust export orders and a improving product mix.
Financial Highlights: Q3 FY26 (Consolidated)
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Revenue from Operations: ₹1,210.79 crore, up 19.65% YoY
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EBITDA: ₹243.52 crore, up 41.67% YoY
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EBITDA Margin: 20.11% (up 312 basis points YoY)
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Profit After Tax (PAT): ₹102.37 crore, up 41.04% YoY
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PAT Margin: 8.45% (up 128 basis points YoY)
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EPS (Diluted): ₹0.67
Also Read: NMDC Q3 FY26 Net Profit at ₹1,738 Crore, Declares ₹2.50 Per Share Dividend
Key Business Updates & Strategic Highlights
1. Record Export Orders & Global Expansion
HFCL secured export orders worth approximately USD 192 million during the quarter, increasing the export contribution to 27% of total revenues. This reinforces the company's growing global footprint amid recovering demand for optical fibre cables (OFC) driven by data centre expansion and AI-led investments.
2. Robust Order Book & Revenue Visibility
The company's order book stood at a healthy ₹11,125 crore as of 31 December 2025, providing strong revenue visibility. The revenue mix continued to improve, with products contributing 60% and services 40%.
3. Capacity Expansion on Track
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Optical Fibre (OF) Capacity: Already doubled from 14 million fibre km (fkm) to 28 million fkm. A further 6 million fkm will be added by December 2026.
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Optical Fibre Cable (OFC) Capacity: Expanding from 30.5 million fkm to 42.36 million fkm by June 2026 to meet rising global demand.
4. Defence Business Momentum
HFCL secured key defence orders across radars, electronic fuzes, and electro-optic systems. It also received a domestic contract for indigenously developed thermal cameras for UAV surveillance. The company has been allotted 329 acres in Andhra Pradesh for setting up a defence manufacturing facility, with more land in process.
5. Product Innovation
HFCL strengthened its technology leadership by developing a 3456-fibre Micro Duct IBR cable, the highest fibre-count cable manufactured by the company to date.
Management Commentary
Mr. Mahendra Nahata, Promoter and Managing Director, stated, “HFCL made steady progress across its core strategic priorities, supported by a sharp recovery in global optical fibre demand, strengthening export momentum, and continued execution across its telecom product and defence portfolios.”
He added that early-quarter logistics and tariff-related challenges have stabilized, and deferred dispatches are expected to support current quarter revenue.
Growth Strategy & Outlook
HFCL’s growth strategy rests on four pillars:
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R&D-Driven Innovation: Adding new products in telecom and defence.
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Private & Export Focus: Targeting 80% revenue from private customers (achieved in 9MFY26) and expanding globally.
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High-Margin Product Shift: Focusing on customized, high-end products for better margins.
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Entry into Data Centre Networking: Capitalizing on the expected ~$1.1 trillion capex in DC networking by FY29.
Shareholding & Investor Information
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Promoters: 28.29%
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Public & Others: 71.71%
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Market Cap: ~₹10,369 crore (as of 31 Dec 2025)
The company will host an earnings call today, 3 February 2026, at 4:30 PM IST.
About HFCL Limited
HFCL is a leading technology company focusing on telecom infrastructure, defence electronics, and enterprise connectivity. With 7 manufacturing facilities and 3 R&D centres in India, it is a key player in India's 'Atmanirbhar Bharat' mission in telecom and defence sectors.