Bharti Hexacom Ltd Q2 FY26: ₹2,317 Cr Revenue, ₹421 Cr PAT, and a 52% Operating Margin — Rajasthan’s Telecom Maharaja Strikes Again
1. At a Glance
Bharti Hexacom Ltd, the telecom prince ruling Rajasthan and the Northeast, just dropped another quarter that can make even Reliance’s boardroom raise a collective eyebrow. For Q2 FY26 (ended September 2025), the company reported revenue of ₹2,317 crore, EBITDA of ₹1,256 crore, and PAT of ₹421 crore. That’s a 66% YoY profit jump — the kind of number that makes analysts suspicious and investors romantic.
At ₹1,867 per share, BHL now flaunts a market cap of ₹93,448 crore, trading at a P/E of 58.2 — expensive enough to make value investors faint, but hey, profits are doubling, so who’s complaining? With a ROE of 25.2%, ROCE of 17.4%, and net profit margin of 18.2%, Hexacom is not just profitable — it’s borderline smug.
Backed by big daddy Bharti Airtel (70% stake), and enjoying a 37.6% market share in its operating circles, Hexacom has quietly become the crown jewel of Airtel’s regional empire. Oh, and they’re paying dividends too — because when your EBITDA margin hits 51%, you can afford to share some love.
2. Introduction – The Jaipur Juggernaut of Telecom
Let’s be honest: nobody expected a regional telecom operator from Rajasthan and the Northeast to list at a ₹90,000+ crore valuation and then actually justify it. But Bharti Hexacom isn’t your local broadband auntie’s startup. It’s Airtel’s battle-hardened, profit-churning regional wing, operating in India’s most difficult terrains — deserts and jungles — and still pulling off 50% operating margins.
Born in 1995, back when prepaid recharge was a neighborhood ritual and “incoming calls free” was a national dream, Bharti Hexacom has spent three decades crawling through regulatory hurdles, political drama, and the occasional spectrum controversy. Now, post-listing in April 2024, it has transformed from Airtel’s quiet subsidiary to a listed telecom powerhouse.
The company’s focus is brutally clear: mobile services make up 97% of revenue, broadband another 3%, and everything else is just white noise. It serves ~28 million customers with an ARPU of ₹204, which is literally a rupee higher than Airtel’s national ARPU — Rajasthan clearly loves talking more.
The big twist? While Airtel fights Jio in metros, Bharti Hexacom dominates where the real Bharat lives — Jaipur, Guwahati, Imphal, and every 2G tower that somehow became a 5G hotspot overnight.
3. Business Model – WTF Do They Even Do?
Alright, so here’s the tea: Bharti Hexacom is basically Airtel’s regional telecom warlord for Rajasthan and the Northeast. It holds a Unified License from the Department of Telecommunications, which allows it to offer mobile voice, broadband, and fixed-line services. In simple terms — it makes money when you call your ex, stream a movie, or scream at your Wi-Fi router.
About 98% of the company’s revenue comes from data and voice services — the daily bread and butter of the Indian telecom story. Broadband and fixed-line contribute a polite 2-3%, just enough to look diversified in the investor deck.
Operationally, Hexacom runs 25,700+ towers, 79,800+ broadband base stations, and holds 2,010 MHz of spectrum — which is basically telecom jargon for “we own the air you talk through.”
What makes it special?
Regional Monopoly Vibes – In Rajasthan and Northeast, it’s the #2 player with 37.6% market share.
Cost Efficiency – No metro drama, fewer competitors, and customers who don’t churn every 6 months.
Parental Oversight – Bharti Airtel controls treasury, strategy, and even the coffee machines.
So yes, Hexacom looks like an independent company on paper, but in reality, it’s the obedient prodigy of the Airtel family — one that doesn’t waste money on Bollywood ads or 5G launch concerts.
Translation: Investors are paying ₹55 for every rupee of earnings — a steep price, but apparently Rajasthan’s airwaves are premium property now.
The YoY growth is stunning. The company’s EBITDA margin hit 52%, up from 48% last year — proof that Hexacom is squeezing efficiency like a Marwari accountant at year-end.
