Executive Summary
Bharti Hexacom Limited delivered a steady revenue performance and a stronger improvement in profitability during the third quarter of FY26, benefiting from higher data consumption, expanding customer base, and rapid growth in non-mobile services. Revenue for the quarter ended December 31, 2025, stood at ₹2,360 crore, reflecting a 4.8% year-on-year increase and 1.8% sequential growth.
Earnings growth outpaced revenue expansion, supported by operating leverage and cost efficiencies. Margins expanded meaningfully, while net income recorded double-digit growth, reinforcing the company’s improving earnings trajectory.
Financial Performance
Total revenue reached ₹2,360 crore in Q3 FY26. EBITDA rose 7.4% year on year to ₹1,282 crore, with the EBITDA margin improving by 128 basis points to 54.3%. EBITDA after lease increased 7.9% to ₹1,124 crore during the quarter.
Earnings before interest and tax climbed 8.0% year on year to ₹715 crore. Net income before exceptional items grew 18.8% to ₹432 crore, while reported net income after exceptional items stood at ₹474 crore, reflecting a strong year-on-year improvement in profitability.
Capital expenditure for the quarter was ₹340 crore, focused on network capacity enhancement and coverage expansion. The balance sheet remained healthy, with net debt to annualised EBITDA after lease at 0.48x.
Business Segment Performance
The mobile services segment continued to post stable growth. Mobile revenue increased 3.6% year on year, supported by higher data usage and an expanding smartphone customer base. Average revenue per user improved to ₹253, while data consumption per customer rose nearly 30% compared to the same period last year.
Total customers increased to 29.04 million, representing a 3.7% year-on-year rise and 1.5% sequential growth, indicating sustained momentum in subscriber additions.
Homes, Office and Other Services remained the fastest-growing segment, with revenue surging 50.8% year on year. Customer additions in this segment reached 73,000 over the past year, expanding the service footprint to 117 cities and strengthening the company’s diversified revenue base.
Network Investments and Outlook
Network expansion remained a priority, with 237 towers added over the past 12 months to support growing data demand and service quality improvements. Continued investments in infrastructure, combined with rising ARPU and rapid scaling of fixed and enterprise services, are expected to support earnings momentum.
However, competitive intensity in the telecom market and ongoing capital requirements remain key factors influencing performance.
Key Takeaways
- Revenue grew 4.8% year-on-year, with stronger expansion in profitability and margins.
- EBITDA margin improved to 54.3%, highlighting operating leverage.
- Homes and Office services delivered sharp growth, strengthening revenue diversification.