Indus Towers Q1 results: Net profit jumps 182% to Rs 1,348 crore

Quarterly tower additions stood at their highest levels ever at 5048

Telecom infrastructure company Indus Towers posted a consolidated net profit of Rs 1347.9 crore in the first quarter (April-June) of FY24, 182 per cent higher year-on-year than the Rs 477 crore posted in Q4FY23. However, on a sequential basis, net profit fell 3.6 per cent from the Rs1,399 crore posted in Q4 FY23.

Revenue from operations also rose 3 per cent to Rs 7,076 crore from Rs 6,897 crore in Q4FY23. Consolidated earnings before interest, taxes, depreciation, and amortization (EBITDA) was at Rs 3,514 crore, up 51 per cent YoY representing an operating margin of 49.7 per cent.

The rise in revenue was attributed to the continuous addition of towers. The company added 5410 towers in Q1FY24, up from 3482 in the immediately preceding quarter.

Indus owned and operated 198,284 macro towers at the end of the latest quarter with 347,879 macro co-locations in 22 telecommunications Circles in India, the company said. During the quarter, net macro co-locations increased by 5,048. Exits during the quarter were 518.

“We are pleased to have delivered a solid operational performance in Q1 FY24, with the highest quarterly tower additions in our history. We have made progress on key strategic priorities which are critical to our growth, competitiveness, and customer satisfaction," said Prachur Sah, Managing Director and CEO, Indus Towers Limited.

With the 5G rollouts by operators and network expansion of a major customer progressing at speed, Indus Towers is also keeping pace to capture the growth opportunity and create long-term value, Sah added.

Sharing revenue per tower per month was steady at Rs 73,286 while sharing revenue per sharing operator per month came in at Rs 41,503, nearly flat QoQ and YoY, and largely in line with expectations.

The company yet again drew attention to one of its largest customers financial conditions have impacted the business operations, receivables and financial position of Indus Towers. It said a doubtful debt provision worth Rs 85 crore against receivables from Vodafone Idea.