According to reports from CNBC TV18, Bharti Hexacom Ltd. delivered steady earnings for the March quarter with revenue rising 5.4% year-on-year to ₹2,414 crore, representing a 2.3% quarter-on-quarter increase. The telecom operator maintained EBITDA margin at 54.4%, demonstrating operational stability and effective cost management. However, profit after tax declined 4.6% year-on-year due to higher other expenses and elevated exceptional losses, contrasting with the company's parent Bharti Airtel's performance where net profit fell 33.5% to ₹7,325 crore despite 15.7% revenue growth. The company's average revenue per user (ARPU) stood at ₹252, marginally higher than ₹242 in the previous year, supported by improved mobile data usage with average monthly consumption per user reaching 34.2 GB. EBITDA rose 7.7% to ₹1,314 crore, with the margin expanding by 200 basis points to 54.4%, indicating strong operational efficiency. Net income (before exceptional items) increased 22.5% to ₹466 crore compared to Q4 FY25, showing significant improvement in bottom-line performance.
The homes, office, and other services segment emerged as a major growth engine, with revenue surging 65.3% year-on-year. This segment added 395,000 customers over the year, significantly boosting the company's overall revenue mix and highlighting the effectiveness of its strategy in bundled services and fixed-line broadband. Mobile services revenue saw a 3.8% rise, supported by the improved ARPU and mobile data usage surging 30.9%, reflecting increased data demand across the network. The company's smartphone data customer base expanded by 1.2 million new customers over the past year, representing a 5.8% year-on-year increase. Mobile data traffic for the quarter reached 2,203 PBs, demonstrating strong network utilization. The company deployed 245 towers to expand its network and improve customer experience during the year. EBIT increased 9.0% YoY to ₹738 crore with a margin of 30.6%, showing robust operational performance across all segments.
As reported by CNBC TV18, the board declared a final dividend of ₹18 per share following the quarterly results. The stock ended 1.79% higher at ₹1,491 on Wednesday, though it has declined 18% so far this year. The positive market reaction suggests investor confidence in the company's steady operational performance despite the quarterly profit decline.
According to the latest financial results, Bharti Hexacom demonstrated significant improvement in its financial health metrics. The Net Debt to EBITDA ratio (annualized) improved to 1.04 times as of March 31, 2026, compared to previous levels. More notably, Net Debt (excluding lease obligations) to EBITDAaL ratio (annualized) improved to 0.44 from 0.87 as of March 31, 2025, indicating substantial deleveraging. This improvement in debt metrics reflects the company's focus on financial discipline and operational efficiency. The company continues to expand its fiber network using the Local Cable Operator Model and is now active in 120 cities, supporting its growth in homes and office services.
Analysts generally have a positive outlook on Bharti Hexacom, with expected sector tariff hikes and continued growth in data consumption and fixed broadband seen as supportive factors. The company's investments in its homes and office segment and 5G network expansion are expected to drive future revenue growth. The Indian telecom sector remains cautiously optimistic with growth expected from rising ARPU and favorable pricing, with potential tariff hikes anticipated by July 2026. However, investors will be closely watching cost management and the sustainability of margin improvements amid rising capital spending and competition in the telecom sector.
