Financial Performance Summary (Q2 FY26 vs Q2 FY25)

Revenue: Consolidated revenues stood at Rs. 8,516 Crores, showing growth of 4.0% year-over-year (from Rs. 8,188 Crores in Q2 FY25).

EBITDA: Consolidated EBITDA reached Rs. 4,633 Crores, with minimal growth of 0.4% year-over-year (from Rs. 4,613 Crores). The EBITDA margin for the quarter was 54.4%.

Profitability: Consolidated Profit After Tax was Rs. 1,793 Crores, representing a decline of 2.5% year-over-year (from Rs. 1,839 Crores).

Return Metrics:

  • Return on Equity (Pre-Tax) declined significantly to 25.3% from 38.4% year-over-year.
  • Return on Equity (Post-Tax) declined to 18.8% from 29.0% year-over-year.
  • Return on Capital Employed declined to 19.1% from 26.3% year-over-year.

Cash Flow:

  • Operating Free Cash Flow (non-IND AS measure) improved to Rs. 1,107 Crores, up 6.5% year-over-year.
  • Adjusted Fund From Operations (AFFO, non-IND AS measure) was nearly flat at Rs. 3,023 Crores (vs Rs. 3,037 Crores).

Special Item: The quarter included a write-back of Rs. 195 Crores in provision for doubtful receivables, aided by collections against past overdue amounts.

Operational Performance Metrics

Tower Infrastructure:

  • Total Tower base reached 270,480, adding 2,869 towers quarter-over-quarter and showing strong growth of 5.6% year-over-year (14,406 towers added).
  • Total Co-Location base reached 440,153, adding 7,903 co-locations quarter-over-quarter and growing 5.9% year-over-year (24,436 co-locations added).

Tenancy Ratios:

  • Average Sharing Factor remained stable at 1.62 times (same as previous quarter).
  • Closing Sharing Factor improved to 1.63 times from 1.62 times in the previous quarter.

Revenue Metrics:

  • Sharing Revenue per Tower per month was Rs. 66,532, showing minimal growth of 0.2% quarter-over-quarter but declining 2.0% year-over-year.
  • Sharing Revenue per Sharing Operator per month was Rs. 41,036, declining 0.1% quarter-over-quarter and 1.6% year-over-year.

Management Commentary

Prachur Sah, Managing Director and CEO, highlighted:

  • Strong quarter driven by sustained customer demand, healthy co-location additions, and robust cash flow generation.
  • Improvement in tenancy ratio to 1.63 reflects success in capturing substantial share of customers' incremental rollouts.
  • Focus on low-cost shared infrastructure model, digital energy management, and AI-led transformation enhancing operational efficiency and customer experience.
  • Africa rollouts progressing as planned with momentum expected to build through second half of the year.
  • Confidence in delivering sustainable growth and long-term shareholder value supported by healthy order book and compelling infrastructure value proposition.

Additional Financial Data (Excluding Other Income)

EBIT: Rs. 2,652 Crores, declining 4.3% year-over-year.

Profit Before Tax: Rs. 2,418 Crores, declining 2.4% year-over-year.

Company Overview

Indus Towers Limited is India's leading provider of passive telecom infrastructure with a portfolio of 270,480 telecom towers across all 22 telecom circles. The company serves all wireless telecommunication service providers in India and has been an industry pioneer in adopting green energy initiatives for its operations.