HFCL shares gain 2% after securing Rs 834 crore export orders for optical fibre cables

Shares of Telecom equipment and optical fibre maker HFCL gained nearly 2% to hit the day’s high of Rs 217 on the NSE after the company received an export order worth Rs 834.36 crore for the supply of Optical Fiber Cables (OFC).

According to a filing with the exchange, the order is equivalent to USD 88.94 million. The company secured it through its overseas wholly owned subsidiary from a renowned international customer.

The order awarded by the international entity is to be completed by June 2027. The company said these orders reaffirm the confidence reposed by our customers in the company’s manufacturing capabilities, technological excellence and product quality.


Also Read | HFCL Q2 net profit jumps 448% to Rs 394 crore

The company also highlighted that the orders were received in the normal course of business and no promoter/ promoter group/group companies have any interest in the entity that awarded the orders or contracts.

HFCL Q2 updates

The company reported a fivefold increase in its net profit for July-September, while revenue rose nearly 2.44 times, making it the company's best quarter to date. Net profit surged 448.14% year-on-year to Rs 394.22 crore from Rs 71.92 crore a year ago, while revenue increased 143.62% to Rs 2,541.79 crore from Rs 1,043.34 crore.

Earnings before interest, taxes, depreciation and amortisation increased 223.55% to Rs 658 crore.

"Demand continues to accelerate across AI infrastructure, hyperscale data centres and telecom networks. Opportunities with international hyperscalers and telecom operators are steadily converting into firm contracts," said Mahendra Nahata, Managing Director, HFCL.

Nahata further said that, "Based on current expectations and business visibility, we now expect revenue growth of at least 80% in FY27 over FY26 and the company could reach its Rs 10,000 crore annual revenue milestone ahead of its earlier target of 2028-29.”

In its Q2FY27 update, the company announced a series of large overseas contract wins. In September, it disclosed a long-term optical fibre cable supply pact worth about $244 million (Rs 2,329 crore), which was awarded by a global multinational corporation and is to be completed by December 2029.

A month earlier, it announced export orders worth about Rs 522.73 crore. In March, the company announced a $1.1 billion optical fibre cable supply agreement, valued at about Rs 10,159 crore, its largest deal so far.

Also Read | HFCL stock triples in 6 months as AI, defence orders boost outlook

HFCL share price

HFCL's share price declined 18.65% over the past month and 2.61% over the past week. However, the stock has gained 213.35% so far in 2026 and 180.98% over the past year.

Over a longer period, HFCL shares have advanced 225.98% in the past three years and 185.10% in the past five years.

Disclosure: This article has been written by Surbhi Khanna, who is not a SEBI-registered Research Analyst or an investment advisor. Surbhi Khanna does not hold any financial interest in Economic Times as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of the EconomicTimes Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment.