Indus Towers on October 27 reported a 17.3 percent decline in consolidated net profit at Rs 1,836.6 crore in the quarter ended September 30 of the current financial year, over Rs 2,223.5 crore in the year-ago period. The profit stood at Rs 1,736.8 crore in the first quarter of FY26.
Its total revenue, however, saw a growth of 9.68 percent at Rs 8,188.2 crore in the reported quarter, compared to Rs 7,465.3 in the year-ago period.
The firm’s consolidated EBITDA stood at Rs 4,613 crore, down 6. percent YoY, representing an EBITDA margin of 56.3 percent.
Indus Towers during the reported quarter had a writeback of Rs 195 crore in provision for doubtful receivables, aided by collections against past overdue.
“A large customer of the Group accounts for a significant part of revenue from operations for the quarter and half year ended September 30, 2025 and constitutes a significant part of outstanding trade receivables and unbilled revenue as at September 30, 2025,” Indus Towers said in its filing without naming Vodafone Idea.
The filing said that the “customer” has expressed its ability to settle liabilities and is dependent on support from the Department of Telecommunications (DoT) regarding the AGR matter, fund raise through equity and debt, and generation of cash flow from operations..
“The customer is paying an amount equivalent to the monthly billing to the Group. The Group continues to recognise revenue from operations relating to the customer for the services rendered; however, the Group does not recognise revenue equalisation asset on account of straight lining of lease rentals considering the customer’s financial condition,” Indus Towers said.
“We are pleased to report another quarter of solid performance driven by healthy tower additions and the strengthening of our market presence. Our sharp focus on cost efficiency has been contributing to steady improvement in our profitability. The quarter also marked announcement of our plan to foray into Africa, a strategic step towards supplementing our long-term growth by extending Indus Towers’ proven execution capabilities to new high-potential markets," said Prachur Sah, managing director and CEO, Indus Towers Ltd.
The company, however, registered about a 6 per cent increase in profit on a quarterly basis. The company’s mobile tower base grew to 2,56,074 with the addition of 26,416 towers in the last 12 months.
"Our emphasis on leveraging automation and AI will be critical for us to maintain our pole position by enhancing efficiency, scalability, and service quality. This will be pivotal to deliver sustainable growth and create long-term value for our shareholders,” Sah added.
The company's stock closed 3.31 percent higher at Rs 373.5 on NSE on October 27.
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