This article first appeared on GuruFocus .
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Revenue (Q3 FY26):INR 1,210.79 crores
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Revenue (Q3 FY25):INR 1,011.95 crores
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EBITDA (Q3 FY26):INR 243.52 crores
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EBITDA Margin (Q3 FY26):20.1%
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Profit After Tax (Q3 FY26):INR 102.37 crores
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PAT Margin (Q3 FY26):8.4%
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Revenue (9M FY26):INR 3,125.15 crores
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EBITDA (9M FY26):INR 489.82 crores
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EBITDA Margin (9M FY26):15.67%
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Profit After Tax (9M FY26):INR 144.99 crores
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PAT Margin (9M FY26):4.64%
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Export Revenue Contribution (Q3 FY26):27% of total revenues
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Order Book (as of Dec 31, 2025):INR 11,125 crores
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Product Revenue Contribution (Q3 FY26):60% of total revenues
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Project Revenue Contribution (Q3 FY26):40% of total revenues
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Warning! GuruFocus has detected 7 Warning Signs with BOM:500183.
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Release Date: February 03, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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HFCL Ltd ( BOM:500183 ) reported a significant increase in export revenues, accounting for 27% of total revenues in Q3 FY26, up from 14% in Q3 FY25.
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The company has successfully developed high fiber count cables, such as the 3,456 fiber count Micro Duct IBR cable, and is working on even higher capacity cables, positioning itself as a leader in high-performance cable manufacturing.
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HFCL Ltd ( BOM:500183 ) has secured export orders worth approximately USD192 million, driven by strong demand for optical fiber cables from international customers.
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The company is expanding its optical fiber and cable manufacturing capacities, with plans to increase optical fiber capacity to 42.36 million fiber kilometers by June 2026.
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HFCL Ltd ( BOM:500183 ) has initiated its preconnected solutions business for data center applications, expecting significant revenue contributions in the coming years.
Negative Points
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The company faced logistical and execution challenges due to evolving tariff structures and supply chain recalibration, impacting early quarter performance.
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EPC project execution revenues were subdued during the quarter, with slower revenue recognition despite steady on-ground execution planning.
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HFCL Ltd ( BOM:500183 ) experienced a shortfall in Q3 revenue growth expectations, particularly in the export segment due to tariff issues.
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The company is facing challenges in the development and approval of electronic fuses, with further improvements required following recent firing trials.
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There is a significant increase in depreciation expenses due to new fiber optic plant operations, impacting overall financial performance.
Q & A Highlights
Q: Can you provide the percentage of Optical Fiber Cable (OFC) revenue for Q3 and nine months of FY26, and the margins? A: OFC accounted for approximately 48% of the total revenue for the nine months of FY26. The current margin on OFC is roughly 10% to 12% net margin, depending on the type of cable manufactured.
Q: What is the current realization for OFC, and do you expect it to increase further? A: The current realization is approximately INR1,055 per fiber kilometer, up from INR964 in the previous quarter. We expect it to increase by at least another 10% due to demand from data centers.
Q: What is the status of electronic fuses, and when can we expect final approval? A: We are the only company in India with indigenously designed electronic fuses. Test firing took place in January 2026, and further improvements are being made. We expect final approval after retesting in April.
Q: How are you managing the raw material supply for preform, and how have prices moved? A: We import preform primarily from Japan, and our supply is regular with no shortages. Prices are expected to increase by 20% to 25% due to rising demand.
Q: What are the revenue expectations for the Fiber Optic Cable business in the next financial year? A: We expect the Fiber Optic Cable business to generate approximately INR3,500 crores in revenue next financial year, up from INR2,400 crores this year, driven by strong demand and capacity expansion.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
