Bharti Hexacom reported a robust start to FY27, with standalone net profit before exceptional items rising 23.2% year-on-year (YoY) to ₹482 crore for the quarter ended June 30, 2026. The bottom-line improvement was underpinned by a 10.9% YoY revenue increase to ₹2,510 crore and an expansion in EBITDA margin by 99 basis points to 54.8%, signaling strong operational leverage despite higher absolute costs. The results reflect successful execution in customer acquisition and average revenue per user (ARPU) growth within the mobile segment, alongside rapid scaling in the homes and office services division.

The Board of Directors, in a meeting held on August 04, 2026, approved the audited financial results based on recommendations from the Audit Committee. Deloitte Haskins & Sells LLP served as the independent auditor, issuing a clean opinion that the financial statements present a true and fair view in conformity with Ind AS 34. The filing complies with Regulations 30 and 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

Total revenues stood at ₹2,510 crore, up from ₹2,263 crore in Q1FY26. Other income contributed ₹721 million, bringing total income to ₹2,582 million. Total expenses increased 8% YoY to ₹1,188 million, driven primarily by a 25% rise in access charges to ₹204 million and a 9% increase in license fees/spectrum charges to ₹230 million. Network operating expenses remained stable at ₹538 million.

EBITDA grew 13.0% YoY to ₹1,375 crore, outpacing revenue growth and leading to the margin expansion. Depreciation and amortization expenses rose 12.4% YoY to ₹593 million, resulting in an EBIT of ₹770 crore, up 13.7% YoY. Net finance costs declined 22.4% YoY to ₹117 million, aided by lower interest rates and reduced debt levels. Tax expense was ₹171 million, including current tax of ₹221 million and deferred tax credit of ₹50 million.

Segment and Operational Highlights

Mobile services revenue grew 9.3% YoY to ₹2,395 million, supported by a higher ARPU of ₹259, up from ₹246 in Q1FY26. The smartphone data customer base expanded by 1.3 million YoY to 23.1 million, accounting for 80% of total mobile customers. Mobile data usage surged 30.5% YoY to 2,381 PBs, with average monthly usage per customer reaching 36.2 GB.

The Homes, Office and Other Services segment delivered exceptional growth, with revenue jumping 61.4% YoY to ₹127 million. This segment added 416K customers YoY, reaching a base of 0.9 million. The fiber network footprint expanded to 121 cities, up from 115 in Q1FY26. Bharti Hexacom also launched 'Postpaid Fast Lane,' leveraging 5G slicing technology to enhance service quality for high-value users.

Balance Sheet and Cash Flow

Capital expenditure for the quarter was ₹382 crore, focused on network expansion and technology upgrades. Operating free cash flow (EBITDA minus Capex) stood at ₹993 crore. Net debt excluding lease obligations improved significantly to ₹960 million as of June 30, 2026, down from ₹2,806 million a year earlier. Consequently, the annualized Net Debt-to-EBITDA ratio strengthened to 0.80 times from 1.30 times, while the Net Debt-to-EBITDAaL ratio (excluding leases) improved to 0.20 times from 0.65 times.

What the Numbers Show

The divergence between revenue growth (10.9%) and EBITDA growth (13.0%) highlights improved operational efficiency. While access charges and spectrum fees rose sharply, the company maintained control over network operating expenses, which grew only marginally. The significant reduction in net debt underscores a deleveraging strategy, enhancing financial flexibility for future investments in 5G infrastructure and broadband expansion.

Bharti Hexacom Limited will host an earnings call on Wednesday, August 5, 2026, at 12:00 PM IST to discuss its audited financial results for the first quarter ended June 30, 2026. The disclosure is made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The earnings webinar is being conducted jointly with Bharti Airtel Limited, providing investors with a consolidated view of the group’s performance for the period.

The session will begin with a management briefing followed by a question-and-answer segment. Management will commence the Q&A session specifically for Bharti Hexacom Limited from 1:00 PM IST onwards. Participants interested in engaging with Hexacom’s leadership must register in advance via the provided Zoom link and use the “Raise Hand” feature during the commentary to join the queue. Audio recordings, video recordings, and transcripts of the call will be uploaded to the company’s website within prescribed timelines.

Webinar Details

Participants are advised to download the latest Zoom application for PC, Mac, iOS, or Android devices prior to the event. All participants, except for the management team, will have their video disabled and audio muted during the webinar. Only participants asking questions will have their audio unmuted upon announcement. Those joining via dial-in numbers will not be able to view the video or participate in the Q&A session.

Regulatory Compliance

The notice was issued by Amit Chaturvedi, Company Secretary & Compliance Officer, on July 30, 2026. The communication includes a disclaimer stating that it does not constitute an offer of securities for sale in the United States. Any public offering of securities in the US will be made via a prospectus containing detailed information about the company, its management, and financial statements, in compliance with the U.S. Securities Act of 1933, as amended.

What the Numbers Show

While specific financial metrics such as revenue, net profit, or EBITDA are not disclosed in this notice, the scheduling of the earnings call confirms the completion of the audit for the first quarter ended June 30, 2026. Investors should monitor the company’s website and the Zoom webinar for the detailed financial performance and management commentary expected during the August 5 session.