Product revenue target of INR 800-1,000 Cr in FY25
Management expects product revenue to reach INR 800-1,000 Cr in FY25, driven by new 5G products and capacity expansion.
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5G product revenue of INR 350-400 Cr in FY24
Revenue from 5G-related products (including UBR and Wi-Fi used in 5G networks) expected at INR 350-400 Cr in FY24.
EBITDA margins to sustain around current levels
Management expects EBITDA margins to remain around 16% with potential slight improvement as product mix improves.
Optical fiber capacity expansion to add INR 150 Cr annualized profit
Expansion of optical fiber capacity from 10M to 33M fiber km is expected to generate additional profitability of INR 150 Cr annually at current prices.
FY25 revenue growth of 25-30%
Management expects overall revenue growth of 25-30% in FY25, driven by telecom equipment and passive connectivity solutions.
Telecom equipment revenue target of INR 2,000 crore in FY25
Revenue from telecom and networking products is expected to reach approximately INR 2,000 crore in FY25, up from INR 143 crore in FY24.
Passive connectivity solutions revenue of INR 250 crore in FY25
Revenue from passive connectivity solutions is expected to be INR 250 crore in FY25, growing to INR 750 crore in 2-3 years.
Poland cable facility commercial by calendar year 2025
The new optical fiber cable facility in Poland, with a capex of INR 170 crore, is expected to be commercialized within calendar year 2025.
Total revenue growth of ~25% in FY26
Management expects overall revenue to increase by about 25% in FY26 compared to FY25.
OFC revenue to double to INR 2,400 crore in FY26
Optical fiber cable revenue is expected to reach INR 2,400 crore in FY26, up from INR 1,200 crore in FY25.
Defense revenue of INR 200+ crore in FY26
Defense segment revenue is expected to be around INR 200 crore or more in FY26.
IBR cable capacity expansion to 19.01 Mn fkm by March 2026
IBR cable capacity will increase from 1.73 to 19.01 million fiber km per annum by end of FY26.
New products to add ₹800-1,000 crore revenue in FY25
Management expects incremental revenue of ₹800-1,000 crore from new products (5G FWA, Wi-Fi 7, UBR) in FY25, with launches completing by Q4 FY24.
OFC capacity expansion to add ₹800-1,000 crore incremental revenue
Expansion of optical fiber capacity to 33.9 million fkm and cable to 35 million fkm will add ₹800-1,000 crore revenue at full run rate.
Revenue mix target of 70% products / 30% projects
Management targets a 70/30 revenue mix (products/projects) over the medium term, with FY25 expected at 60/40.
CapEx of ₹50-75 crore for new product manufacturing
To support new product revenues, additional CapEx of ₹50-75 crore is planned, partly to avail PLI incentives of ₹600 crore.
Revenue target of INR 10,000 crore in three years
Management reiterated its aspiration to reach INR 10,000 crore revenue in three years, driven by telecom, defense, and export growth.
OFC market recovery from Q4 FY25
Management expects OFC demand to pick up from Q4 FY25, with capacity utilization improving from 45% to 80% or more.
BharatNet Phase 3 awards expected by Q4 FY25
Management expects BharatNet contracts to be awarded in Q4 FY25, with HFCL targeting INR 5,000-8,000 crore opportunity.
Defense revenue to commence from FY26
Electronic fuzes and other defense products under trial are expected to generate revenue from next financial year.
Revenue growth of 20% for FY26
Management reiterated 20% revenue growth guidance for the full year, expecting strong H2 performance.
EBITDA margin to sustain around 19%
Management expects to maintain current EBITDA margin levels in the next two quarters of FY26.
Defense revenue of INR 500 crore in FY27
Defense revenue expected to exceed INR 500 crore in the next financial year, driven by new products and orders.
OFC capacity expansion to 42.36 million fiber km p.a. by June 2026
High-fiber count cable capacity expansion from 1.73 to 19.01 million fiber km p.a., total OFC capacity reaching 42.36 million fiber km p.a.
OFC demand recovery from Q1 FY25, significant from Q2
Management expects global OFC demand to improve from Q1 FY25, with significant uptick from Q2, driven by US BEAD subsidies and BharatNet.
Product-to-project mix target of 70:30 by FY25
Aims to achieve at least 70% revenue from products and 30% from EPC projects in the next financial year.
Telecom equipment revenue to exceed INR 1,000 Cr in FY25
Indigenously developed equipment revenue expected to be significantly more than INR 1,000 crore in FY25, driven by 5G orders and BharatNet routers.
PLI benefits to start from FY25
PLI scheme benefits for telecom equipment will begin from the coming financial year 2024-25.
Telecom product revenue target of ~₹350-400 crore in Q4 FY25
Management expects telecom product revenue to reach ₹350-400 crore in Q4, implying a sequential improvement from Q3 levels.
PLI claim of ₹40-50 crore expected from next fiscal
PLI benefits for telecom equipment are expected to be claimed from FY26, with an estimated amount of ₹40-50 crore for the full year.
Target product mix of 70:30 (products:turnkey) over time
Management aims for 70% revenue from products and 30% from turnkey projects, though profitable turnkey projects may alter the mix.
OFC capacity expansion completion by March 2025
Capacity expansion for IBR cables in Hyderabad is expected to be completed by March 31, 2025, more than doubling capacity.
OFC revenue to reach INR 3,500 crore in FY27
Management expects OFC segment revenue to cross INR 3,500 crore in the next financial year, up from an estimated INR 2,400 crore in FY26.
Defense revenue of INR 400-500 crore in FY27
Defense line of products is expected to contribute INR 400-500 crore in revenue next year, driven by fuze, radar, and ammunition orders.
O&M revenue to reach INR 400-500 crore in 2-3 years
Operations and maintenance revenue is expected to grow to INR 400-500 crore per annum within 2-3 years, starting with Army NFS O&M of INR 170 crore per year from April 2026.
PCS business to add INR 400-500 crore revenue over FY26-27
Pre-Connected Solutions for data centers is expected to contribute INR 400-500 crore of additional revenues over the next two financial years.
Telecom equipment revenue target of INR 2,000 crore in FY25
Management expects telecom equipment revenue to surge from INR 150 crore in FY24 to INR 2,000 crore in FY25, backed by an order book of INR 1,700 crore already in hand.
OFC revenue target of INR 2,000 crore in FY25
Optical fiber cable revenue is expected to recover to over INR 2,000 crore in FY25, driven by demand revival in India and global markets.
Turnkey services revenue of INR 1,750-2,000 crore in FY25
System integration/turnkey revenue is expected to be around INR 1,750-2,000 crore, supported by existing orders of INR 1,200 crore and recurring business.
CapEx of INR 900 crore over two years
Total capital expenditure of approximately INR 900 crore planned for FY25 and FY26, including the Poland OFC plant and other expansions.
Revenue growth of 25-30% in FY26
Overall revenue expected to grow 25-30% in FY26, with major growth starting from Q2.
Optical fiber cable revenue to double in FY26
Revenue from optical fiber cable and associated business expected to grow by ~100% in FY26, driven by data center and export demand.
EBITDA margin to remain stable around FY24 levels
Management expects EBITDA margins to remain stable around FY24 levels (approx. 12-13%), not FY25 levels.
Capex of INR 138 crore for fiber cable expansion
Capex of INR 138 crore planned for expanding optical fiber cable capacity, with orders placed and LCs opened.
Revenue growth of 20-25% in FY27
Management expects revenue to grow 20-25% year-on-year in FY27, driven by strong order book and capacity expansion.
EBITDA margin expansion of 3-4% in FY27
Blended EBITDA margin expected to improve by 300-400 bps in FY27 due to better product mix and reduction in EPC losses.
Data center interconnect revenue of ₹400 Cr in FY27
Data center interconnect solutions expected to contribute at least ₹400 Cr revenue in FY27, scaling to ₹800 Cr in FY28.
Capex of ₹600 Cr in FY27 and ₹350 Cr in FY28
Capital expenditure for FY27 estimated at ₹600 Cr (including preform, defense, and capacity expansion) and ₹350 Cr for FY28.