Order Book
₹21,200 Cr
+?% YoY
All-time high order book including ₹12,250 Cr export orders (58% of total).
HFCL
Other
2026-04-??
HFCL LTD — Q4 FY26
HFCL delivered a record Q4 FY26 with revenue of ₹1,824 Cr (up 128% YoY) and EBITDA of ₹337 Cr (18.5% margin vs -2.8% a year ago), driven by strong OFC demand from hyperscalers, a shift to high-margin products, and export growth (41% of revenue vs 12% last y...
✓ Verified against BSE filing
2-Min Summary
HFCL delivered a record Q4 FY26 with revenue of ₹1,824 Cr (up 128% YoY) and EBITDA of ₹337 Cr (18.5% margin vs -2.8% a year ago), driven by strong OFC demand from hyperscalers, a shift to high-margin products, and export growth (41% of revenue vs 12% last year). The order book hit an all-time high of ₹21,200 Cr, including a landmark $1.1B global OFC contract. Management guided for 20-25% revenue growth and 3-4% margin expansion in FY27, supported by capacity additions, data center interconnect solutions (₹400 Cr revenue expected), and defense scaling. Key risk: any sharp reversal in fiber pricing or geopolitical disruption could pressure margins.
Key Numbers
Export Revenue Share
41.36%
+29.13pp YoY
Export revenue share increased from 12.23% in FY25 to 41.36% in FY26.
Product Revenue Share
62%
+35pp vs FY21
Product-led revenue share rose from 27% in FY21 to 62% in FY26.
OFC Capacity (Fiber)
28M fkm
+5.9M fkm by Dec'26
Optical fiber capacity to expand from 28M to 33.9M fkm by Dec 2026.
Management Guidance
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.
revenueEBITDA 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.
marginsData 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.
revenueCapex 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.
capexKey Risks
Geopolitical disruption impacting supply chain or demand
Management acknowledged that geopolitical events (e.g., canal closures, conflicts) could disrupt operations or demand, though they currently see no material impact.
medium · management_commentaryRaw material cost inflation (helium, polymers, preform)
Analysts raised concerns about rising helium and polymer costs (20% of COGS) and preform prices; management said long-term contracts and pass-through clauses mitigate risk but margins could compress if spot prices spike.
medium · analyst_questionEPC segment losses and working capital drag
EPC business has been loss-making due to warranty costs on an army contract; management expects profitability only after AMC signing (likely Q2 FY27). Unbilled revenue of ~₹600 Cr also poses working capital risk.
medium · data_observationExecution risk on large order book and capacity expansion
The massive order book (₹21,200 Cr) and planned capacity expansions require flawless execution; any delay in commissioning or supply chain bottlenecks could impact revenue recognition.
low · analyst_questionNotable Quotes
This is probably the highest ever single contract secured by any Indian telecom company.
We expect that this year again we should be able to have a 20 to 25% increase in revenue and looks like that we can have a 3 to 4% increase in our profit margin.
The global optical fiber market is undergoing a structural transformation driven by hyperscale data centers, artificial intelligence workloads and cloud infrastructure expansion.