HFCL Q4 FY26: Profit jumps 80% QoQ to ₹184 cr

Turnaround quarter for HFCL

HFCL reported a sharp improvement in consolidated performance in Q4 FY26, signalling a clear reversal from the weak base seen a year earlier. The Gurugram-headquartered telecom gear and optical fibre cable (OFC) maker posted profit after tax (PAT) of ₹184.45 crore for the March quarter. This was a strong sequential rise of 80.18% from ₹102.37 crore in Q3 FY26. The company had reported a net loss of ₹83.30 crore in Q4 FY25, making the year-on-year swing in profitability material. Revenue also improved sharply, reflecting higher execution and demand-led momentum during the quarter. Management described FY26 as a “defining year”, pointing to record performance and a sharp improvement in profit before tax.

Q4 FY26 numbers at a glance

HFCL’s Q4 FY26 revenue rose to ₹1,824.12 crore. On a quarter-on-quarter basis, the company reported revenue growth of 50.66% from ₹1,210.79 crore in Q3 FY26, an increase of ₹613.33 crore. On a year-on-year basis, revenue was reported as up 127.8% from the year-ago quarter. The PAT improvement was also supported by better operating leverage and controlled expenses, as indicated by the company’s profit before tax (PBT) swing into positive territory. PBT for the quarter stood at ₹227.93 crore versus a loss of ₹104.93 crore in Q4 FY25.

Sequential momentum: Q4 vs Q3 FY26

The sequential improvement is visible across profit and revenue. HFCL’s PAT increased by ₹82.08 crore from Q3 FY26 to Q4 FY26. Revenue expansion of ₹613.33 crore quarter-on-quarter suggests a pick-up in execution, aided by demand for telecom equipment and OFC. The company’s Q3 FY26 EBITDA was ₹243.52 crore with a margin of 20.11%, providing a reference point for operational strength heading into the final quarter. While the article data does not provide Q4 FY26 EBITDA margin, it does state that Q4 operating performance improved sharply versus the year-ago period.

Year-on-year rebound from Q4 FY25 losses

The comparison with Q4 FY25 highlights the scale of recovery. In the year-ago quarter, HFCL reported a net loss of ₹83.30 crore, alongside a PBT loss of ₹104.93 crore. Another reported data point in the provided text pegged Q4 FY25 revenue at ₹800.7 crore, reinforcing that Q4 FY26 revenue of ₹1,824.12 crore represents more than a doubling. The same source cited an EBITDA loss of ₹36 crore in Q4 FY25, compared with EBITDA of ₹315 crore in Q4 FY26. Put together, the numbers indicate that profitability improved not only due to higher revenue, but also due to better operating leverage compared with a stressed base quarter.

What management highlighted in FY26

Mahendra Nahata, Managing Director of HFCL, said FY26 was a defining year in which the company delivered its “highest-ever performance”. He highlighted over 21% year-on-year revenue growth and around 97% year-on-year PBT growth for the full year. While the company’s quarter-on-quarter trajectory mattered for near-term sentiment, the full-year picture suggests HFCL exited FY26 with stronger profitability than FY25. The MD’s statement also frames the FY26 outcome as a step-up in scale rather than a one-off quarter.

Full-year FY26: revenue up 21.77%, profit nearly doubles

For FY26, HFCL reported consolidated revenue of ₹4,949.27 crore, up 21.77% from ₹4,064.52 crore in FY25. Net profit for FY26 increased by 90.14% to ₹329.44 crore from ₹173.26 crore in FY25, nearly doubling year-on-year. Earnings per share (EPS) for FY26 stood at ₹2.13 compared with ₹1.23 in the previous year, reflecting improved shareholder returns. These annual numbers align with management’s emphasis on record performance and stronger profitability.

Dividend and margin outlook

HFCL declared a dividend of ₹0.20 per share for FY26, as stated in the provided material. Separately, the text also notes an expectation that EBITDA margin could expand from 16.7% in FY26 to 20% to 21% by FY29, supported by an improving business mix and scale benefits. This is an outlook statement rather than a confirmed outcome, but it provides context on what the company is targeting operationally over the medium term.

Market context: stock levels and earlier expectations

The provided material also includes market references that placed HFCL at ₹88 during April 2026, with a 52-week high of ₹148 and a 52-week low of ₹68, indicating the stock was down about 40% from its peak. One note also carried a pre-result analyst consensus estimate for Q4 FY26 revenue of ₹1,050 crore and PAT of ₹42 crore, alongside a stated “results date” of May 10, 2026. However, the consolidated Q4 FY26 numbers cited above show revenue of ₹1,824.12 crore and PAT of ₹184.45 crore, which are materially higher than those estimates in the provided text.

Summary table: key reported figures

FY26 vs FY25 snapshot

What investors may track next

HFCL’s Q4 FY26 print shows strong quarterly momentum, a clear year-on-year turnaround, and a full-year improvement in revenue and profits. Investors typically track whether the revenue scale-up sustains into subsequent quarters, and whether margin expansion aligns with the company’s stated longer-term targets. Dividend declarations and any updates on business mix and execution cadence can also influence market expectations. Any formal guidance for FY27, if issued by the company, would help investors map performance beyond the FY26 recovery phase.