Key Points

Bharti Hexacom's Q1 FY26 net profit fell 23% YoY despite an 18% revenue increase. Operating profit jumped 32%, showing strong operational efficiency. Mobile revenues grew nearly 18% due to tariff adjustments. The stock dipped slightly but remains up 25% year-to-date.

Key Points: Bharti Hexacom Q1 Profit Falls 23% Despite 18% Revenue Growth

  • Q1 net profit drops 23% YoY to ₹391.6 crore
  • Revenue grows 18% YoY to ₹2,310.5 crore
  • Mobile revenues rise 17.8% due to tariff hikes
  • Stock down 0.19% but up 25% YTD
2 min read

Bharti Hexacom Q1 profit drops 23 pc, revenue rises over 18 pc YoY

Bharti Hexacom reports 23% YoY profit drop to ₹391.6 crore in Q1 FY26, while revenue rises 18% to ₹2,310.5 crore.

"Operating profit surged 32% YoY to ₹1,208.2 crore, reflecting strong operational performance. – Exchange Filing"

New Delhi, Aug 5

Leading telecom operator Bharti Hexacom Ltd's net profit declined 23.4 per cent year-on-year (YoY) in the first quarter of FY26, despite a strong revenue uptick, it said in an exchange filing on Tuesday.

In the April-June quarter, the company reported a net profit of Rs 391.6 crore, down from Rs 511.2 crore in the same period the previous year.

Sequentially, net profit decreased by more than 16 per cent from Q4 FY25, when it was Rs 468.4 crore.

However, due to strong operational performance, total revenue increased 18.4 per cent year over year to Rs 2,310.5 crore in Q1 FY26 from Rs 1,950.5 crore in Q1 FY25.

Revenue dropped sharply from Rs 3,336.8 crore in Q4 FY25, suggesting a seasonal or one-time peak in the preceding quarter.

Operating profit was Rs 1,208.2 crore in Q1 FY26, up 32 per cent YoY from Rs 915.7 crore in Q1 FY25. Operating profit is defined as profit before depreciation, amortisation, finance costs, exceptional items, and tax.

On a sequential basis, this was almost unchanged and marginally less than the Rs 1,215.6 crore reported in Q4 of FY25.

In Q1 FY26, total expenses were slightly lower than Rs 1,121.2 crore in the previous quarter and increased marginally to Rs 1,102.3 crore from Rs 1,034.8 crore a year earlier, suggesting some cost optimisation efforts.

According to the filing, the company's mobile revenues increased 17.8 per cent YoY, driven by tariff repair and a focus on premiumising the portfolio.

Meanwhile, the shares of Bharati Hexacom settled in negative territory in Tuesday's trade. The stock closed at 1,855.40, down 0.19 per cent. The scrip jumped nearly 4 per cent in the last 5 days, while till this date this year the stock zoomed over 25 per cent.

- IANS

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Reader Comments

S
Sarah B
As a Bharti Airtel customer, I'm concerned about these numbers. Will this affect their service quality? Their network has been reliable so far, but profit drops might lead to cost-cutting measures. Fingers crossed 🤞
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Arjun K
The 25% stock growth YTD tells a different story than quarterly profits. Smart investors know telecom is a long game in India. Bharti's rural expansion and 5G rollout will pay off in 2-3 years. This is just a temporary blip.
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Priya S
Why is no one talking about the 32% operating profit growth YoY? That's the real story here! Shows their core business is strong. Quarterly fluctuations happen in every industry, especially after festival seasons.
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Karthik V
Respectfully disagree with the positive takes. A 23% profit drop can't be ignored. Management needs to explain what's causing this - is it 5G capex or something more fundamental? Transparency matters to retail investors like us.
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Nisha Z
Bharti's focus on premium customers is smart strategy. In tier 1 cities, people don't mind paying ₹50-100 more for better service. But they must maintain quality to justify higher tariffs. My office switched to Airtel from Jio last month for better connectivity.

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