Just when everyone thought telecom was boring, Airtel’s Rajasthan-Northeast cousin, Bharti Hexacom, quietly pulled off a tidy quarter—less noise, more network. While Jio flaunted customer adds, Hexacom kept its head down and focused on cash. A rain-soaked Rajasthan and migrating customers couldn’t slow down Soumen Ray’s cool CFO composure. Revenues inched up, margins held firm, and ARPUs stayed premium. If telecoms were IPL teams, Hexacom’s game plan was classic Test match cricket—steady, technical, patient.Stay tuned, because the real plot—FWA, fiber, and rural monetization—is still buffering.
At a Glance
- Revenue ₹2,317 cr (+2.4% QoQ):Grew slower than Airtel, but hey, rains don’t come with Wi-Fi.
- EBITDA ₹1,098 cr (47.5% margin):Margins held tighter than rural network coverage.
- ARPU ₹251:Benefited from one extra day—talk about compounding.
- Customers 28 mn:Flat growth, but fewer SIM tourists this time.
- Home Net Adds 60k:Strongest ever—fiber finally meets fortitude.
- Operating Free Cash Flow ₹730 cr:Printing cash like it’s prepaid recharge.
- Debt-to-EBITDA 0.6x:CFO sleeps better than most telcos.
Management’s Key Commentary
“Revenue grew 2.4% sequentially despite pronounced seasonality.”(Translation: Migrant workers left, but we’re still connected emotionally.)
“EBITDA margin steady at 47.5%, showing operational discipline.”(Discipline = cutting costs before calling it efficiency.)
“ARPU at ₹251, aided by one extra day in the quarter.”(Because every 24 hours of billing counts in telecom math.)
“Homes business added 60,000 customers, the highest ever.”(Finally, someone’s plugging in Wi-Fi before the wedding photographer does 😏)
“Operating free cash flow ₹730 crore, net debt to EBITDA 0.6x.”(Telcos dream of this ratio. Hexacom just lives it.)
“FWA plays a key role in both circles, driving broadband penetration.”(When fiber takes too long, go wireless and call it innovation.)
Numbers Decoded
| Metric | Q2FY26 | QoQ Growth | Comment |
|---|---|---|---|
| Revenue | ₹2,317 cr | +2.4% | Margins up, rain down |
| EBITDAaL | ₹1,098 cr | Flat | Efficiency beats expansion |
| EBITDA Margin | 47.5% | Steady | Airtel DNA showing up |
| ARPU | ₹251 | +1.6% | One extra billing day = magic |
| Customer Base | 28 mn | -0.2% | Seasonal migration hurts, not churn |
| Home Adds | 60,000 | Record High | Fiber party finally begins |
| Operating FCF | ₹730 cr | ↑ | Cash generator in a capital hog sector |
| Net Debt/EBITDA | 0.6x | ↓ | CFO flexes like he’s in treasury yoga class |
Comment:Hexacom may not dazzle with growth, but it quietly aces profitability—rare for a regional telco.
Analyst Questions
Q:“Why slower growth than Airtel?”A:“Rains and migration.”(Even the weather’s part of the P&L now.)
Q:“What’s this seasonality?”A:“Rajasthan workers go home. So do their SIMs.”
Q:“SG&A costs dropped—how?”A:“Efficiency and one-offs.”(Translation: Excel magic, don’t ask again.)
Q:“Capex guidance for FY26–27?”A:“Moderating.”(The only telecom CFO who believes in moderation.)
Q:“FWA vs Fiber economics?”A:“Both cost ~US$100 per connected home.”(Different tech, same bill shock.)
Guidance & Outlook
Hexacom expects steadylow-single-digit revenue growth, maintaining47–48% EBITDA margins. Capex will “moderate” as 5G rollout stabilizes, with homes business driving the next
