HFCL Limited (HFCL), a leading technology enterprise in telecom, digital infrastructure, and defence sectors, delivered its strongest-ever financial performance in FY26, recording over 21% revenue growth compared to FY25 along with significant expansion in margins.
The Company also recorded its highest-ever quarterly performance, driven by the successful execution of its strategy focused on expanding global footprints, introducing new products and augmenting capacities with marked improvement in business mix.
This performance represents a key inflection point for HFCL as it evolves into a structurally stronger and global enterprise, supported by a product-led portfolio, an expanding export footprint, and the emergence of defence as a high-growth vertical.
Key Financial Highlights – FY26
- Full Year Revenue increased to₹4,949.27 crore in FY26 as compared to ₹4,064.52 crore in FY25, up by 21.77%
- EBITDA increased to₹826.75 crore in FY26 as compared to ₹506.75 crore in FY25, up by 63%
- EBITDA Margin expanded significantly to 16.70% in FY26 compared to 12.47% in FY25, up by 423 bps
- Quarterly Revenue increased to Rs.1,824 crore as compared to Rs.800 crore in same quarter of FY25, a growth of 128% YoY
- PBT increased to₹427.68 crore in FY26 as compared to ₹216.59 crore in FY25, up by 97%
- PBT Margin increased to 8.64 % in FY26 compared to 5.33% in FY25, up by 331 bps
- PAT increased to₹329.44 crore in FY26 as compared to ₹173.26 crore in FY25, up by 90%
- Export Revenue increased to ₹2,047 crore (41% of revenue) in FY26 as compared to ₹497 crore (12% of revenue) in FY25
- Order Book grew phenomenally to ₹21,206 crore highest ever, as compared to ₹9,967 crore in FY25, providing strong multi-year revenue visibility.
- Recommended dividend of 20%
Consolidated Financial Highlights – FY26
| Particulars | FY26 ₹in crore | FY25 ₹in crore | Change Y-o-Y % |
| Revenue | 4949.27 | 4064.52 | 21.77% |
| EBIDTA | 826.75 | 506.75 | 63.15% |
| EBIDTA Margin (%) | 16.70% | 12.47% | 423 Bps |
| PAT | 329.44 | 173.26 | 90.14% |
| PAT Margin (%) | 6.66% | 4.26% | 240 Bps |
Consolidated Financial Highlights – Q4FY26
| Particulars | Q4FY26 ₹in crore | Q3FY26 ₹ in crore | Change Q-o-Q % | Q4FY25 ₹ in crore | Change Y-o-Y % |
| Revenue | 1824.12 | 1210.79 | 50.66% | 800.72 | 127.81% |
| EBIDTA | 336.93 | 243.52 | 38.36% | -22.33 | |
| EBIDTA Margin | 18.47% | 20.11% | -164 Bps | -2.79% | 2126 Bps |
| PAT | 184.45 | 102.37 | 80.18% | -83.30 | |
| PAT Margin | 10.11% | 8.45% | 166 Bps | -10.40% | 2051 Bps |
On a standalone basis, the Company reported quarterly revenue of ₹1511.24 crore, EBIDTA of ₹ 312.41 crore, PBT of ₹216.38 crore and PAT of ₹177.58 crore.
Record Performance Driven by Improving Business Mix
HFCL’s record financial performance in FY26 highlights the strength of its operating model and the disciplined execution of its strategic priorities. During the quarter, the Company delivered over 50% revenue growth sequentially, alongside a healthy expansion in EBITDA margin.
This improvement was driven by a favourable shift in revenue mix towards products, an increasing share of exports, and improved realisations in high fiber-count optical fiber cables.
Global Optical Fiber Upcycle and Export Momentum
The global optical fiber industry is undergoing a structural upcycle, supported by rising investments in hyperscale data centres, artificial intelligence workloads, and cloud infrastructure. This has led to strong global demand for high-performance optical fiber cable solutions.
HFCL continues to see robust growth in its performance with increased demand from United States, Europe and Asia, aided by growing customer acceptance of HFCL’s products and strong execution capabilities. This momentum is further reinforced by the Company’s highest-ever optical fiber cable (OFC) order book of ₹13,483 crore.
HFCL through its subsidiary, HTL Limited is substantially expanding its manufacturing capacities for data centre interconnect solutions which will also contribute significantly in the growth of revenue and profitability in coming quarters. It is expected that data centre interconnect solutions will contribute about Rs.400 crore additional revenue in FY26-27 and about Rs.800 crore in FY27-28.
Backward Integration to Drive Margin Expansion
As part of its long-term strategy to enhance structural competitiveness, HFCL has decided to set up preform manufacturing facility as high level backward integration, involving an estimated capital outlay of approximately ₹580 crore.
This backward integration initiative is expected to serve as a key margin expansion lever by reducing import dependence, improving supply chain security and enhancing cost efficiencies. As global demand scales, this initiative will play a critical role in cost reduction sustained profitability and reinforcing HFCL’s competitive positioning.
Strategic Defence & Aerospace Platform – A Transformational Step
In a significant strategic move, HFCL has entered into a MoU to participate in defence aerospace-related opportunities. The aerospace business being acquired operates in a high-entry-barrier segment, characterised by stringent qualification requirements, high precision engineering, long approval cycles, and a limited global supplier base.
Importantly, the business comes with established capabilities, certifications, long-standing customer relationships, and a confirmed export-oriented order book of approximately ₹1,930 crore, providing immediate revenue visibility.
In parallel, HFCL’s land-based defence business is entering a strong scale-up phase, supported by increasing product maturity, ongoing field trials, and rising order inflows across thermal weapon sights, radars, and tactical communication systems.
Additionally, the Company is progressing with the establishment of an ammunition-focused manufacturing facility in Andhra Pradesh, covering products such as electronic fuzes, multi-mode hand grenades, and 155 mm artillery shells, further strengthening HFCL’s position in the defence manufacturing ecosystem.
Commenting on the performance, Mr. Mahendra Nahata, Managing Director, HFCL said,“FY26 has been a defining year for HFCL, during which we delivered our highest-ever performance, achieving over 21% YoY revenue growth and ~97% YoY PBT growth.
Looking ahead, we strongly believe that HFCL is entering a structurally stronger and more predictable growth phase. We are witnessing not only a substantial expansion in our order book but also improvement in its business composition , with a higher share of exports, long-term contracts, and high-margin products.
Our strategic initiatives, for backward integration into optical fiber preform, expansion in defence sector, growing global footprint, and a strong focus on product-led growth are building a powerful foundation for sustained margin expansion and improved returns. HFCL has transformed into a more global, technology-driven, diversified, and structurally profitable enterprise, which we believe will drive consistent earnings growth in the years ahead. We believe the strong momentum witnessed in Q4FY26 will continue in coming quarters.”
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