Bharti Hexacom Q2 FY27 Results (NSE: BHARTIHEXA)
Signal: Margin expansion
The read
The trajectory remains positive: revenue growth accelerated to 11.4% YoY from 10.9% in Q1FY27, EBITDA rose 13.5% to 14410 million and PAT rose 34.4% to 5661 million, while Homes revenue grew 49.1% YoY; the key watchpoint is whether Homes growth converts into material segment profit beyond its current 1 million result.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹2,581.8 Cr | +11.4% | +2.9% |
| EBIT | ₹840.7 Cr | +17.6% | |
| Net profit | ₹566.1 Cr | +34.4% | |
| EPS | ₹11.32 | +34.4% | |
| EBIT margin | 55.8% |
P&L walk
Standalone revenue rose 11.4% YoY and 2.9% QoQ to 25818 million; EBITDA increased 13.5% YoY to 14410 million, depreciation rose 8.3% to 6003 million, finance cost fell 7.5% to 1396 million and PAT grew 34.4% to 5661 million, helped by operating growth and lower finance cost.
Segments
Mobile Services drove the group with 24610 million of revenue and 8162 million of segment result, up 9.9% and 16.5% YoY respectively; Homes, Office and Other Services was the growth engine at 1312 million of revenue, up 49.1% YoY, but contributed only 1 million of segment result.
Key positives
- Revenue from operations reached 25818 million, up 11.4% YoY and 2.9% QoQ, with Mobile Services revenue up 9.9% YoY.
- Mobile ARPU increased to ₹264 from ₹251 YoY, while the smartphone data customer base expanded by 1.2 million and smartphone penetration reached 80%.
- Homes, Office and Other Services revenue rose 49.1% YoY to 1312 million, and its customer base increased 76.1% YoY to 989 thousand.
- EBITDA increased 13.5% YoY to 14410 million versus revenue growth of 11.4%, while finance cost declined 7.5% YoY to 1396 million.
- Operating cash flow was 27240 million in H1FY27 versus 24712 million in H1FY26, supporting continued network investment.
Key concerns
- Homes, Office and Other Services generated only 1 million of segment result on 1312 million of Q2 revenue despite 49.1% YoY revenue growth, so monetisation and profitability remain unproven.
- Mobile Services customer base declined 0.1% QoQ to 28968 thousand even as ARPU rose to ₹264, making premiumisation and customer quality more important than subscriber additions.
- Capital work-in-progress declined to 3034 million from 4761 million at March 31, 2026 while Q2 capex was ₹336 crore, so the pace of future network investment needs monitoring.
Research and educational content only. Not investment advice.