Cable Stock: HFCL bags ₹656 Cr order for supply of optical fiber cables 

Synopsis: This teleinfra company had its shares in focus following the announcement of the company bagging a Rs 656 crore order from an international customer. 

The shares of this company, which is a diverse telecom infrastructure enabler with active interests spanning telecom infrastructure development, system integration, and manufacture and supply of high-end telecom equipment, optical fibre and optical fibre cable, were in focus after the company bagged an order for optical fibre cables.  

With a market cap of Rs 9,645 crore, the shares of HFCL Ltd have gained around 3.5%, reaching a high of Rs 71.33 compared to their previous day closing at Rs 68.90, and are trading at a PE of 344, whereas their industry PE is 18.9, and have given a return of 205% over the last 5 years.  

About the order.

HFCL has announced a sizeable export win, bagging orders worth about USD 72.96 million, which translates to Rs 656 crore, for the supply of optical fibre cables (OFC) to a “renowned international customer” through its overseas wholly owned subsidiary. The contract is purely international in nature, governed by general contract conditions, and will run till November 2026, giving HFCL a clear revenue pipeline spread over the next few quarters.

Management highlights that this order further reinforces global customers’ trust in HFCL’s manufacturing capabilities, technology and product quality, and clarifies that there is no related-party angle, the promoter group has no interest in the customer, and the deal is not a related-party transaction. Taken together, this order underscores HFCL’s positioning as a serious player in the global OFC market and adds visibility to its export-led growth story. 

Financials and others. 

The revenue from operations is at Rs 1,043 crore in Q2 FY26 versus Rs 1,094 crore in Q2 FY25, which is a fall of about 5 per cent YoY. Similarly, the net profit also decreased from Rs 73 crore in Q2 FY25 to Rs 72 crore in Q2 FY26. 

HFCL’s order book shows a well-balanced and diversified mix across its three major business verticals, totalling Rs 9,981 crore. Network Services contributes Rs 3,441 crore, O&M (Operations & Maintenance) adds Rs 3,565 crore, and Products account for Rs 2,975 crore, reflecting a healthy spread rather than dependence on any single revenue stream. This diversification indicates that HFCL’s growth pipeline is supported by both long-cycle service contracts and product-driven demand, giving the company better stability, visibility, and resilience against market fluctuations.

HFCL’s client sheet paints a clear picture of how widely the company has grown, showing that it now supplies over 80 major customers across more than 60 countries. In India, its client list includes some of the biggest names, like Jio, Airtel, Vodafone Idea, RailTel, L&T, Honeywell and Alstom, which reflects the trust it enjoys across telecom, defence and infrastructure. 

Its global presence is just as strong, with partnerships across the UK, Europe, the Middle East, Africa, Southeast Asia and Asia Pacific, working with operators like Optus, Ncell, Globe, STC, du and Ooredoo. The world map filled with HFCL’s touchpoints reinforces how far the company’s products travel and how diverse its customer base has become. Altogether, the slide captures HFCL not just as an Indian telecom manufacturer but as a globally recognised technology partner with deep relationships across multiple regions.

HFCL positions itself as a global technology company with over three decades of experience in transforming businesses through connectivity. It focuses on designing, integrating and delivering next-generation technology products and network solutions, while emphasising innovation and collaboration with global partners to make data networks more accessible.

The company highlights its ability to stay ahead of evolving customer needs by offering dynamic, sustainable and highly customisable solutions, which has helped it become a preferred choice for organisations adopting advanced networks across a wide range of use cases.

Written by Leon Mendonca. 

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