Indus Towers Q4 Results: Net profit drops 4% to ₹1,779 crore, revenue rises 7.4% YoY

Indus Towers Q4 Results: Indus Towers announced its January-March quarter results for fiscal 2024-25 (Q4FY25) on Wednesday, April 30, reporting a drop of four per cent to ₹1,779 crore, compared to ₹1,853 crore in the corresponding period last year. The leading telecom infrastructure firm's revenue from operations in the fourth quarter of FY25 rose 7.4 per cent to ₹7,721 crore, compared to ₹7,193 crore in the year-ago period.

On the operational front, the subsidiary of India's leading telecom giant Bharti Airtel's earnings before interest, taxes, depreciation, and amortisation (EBITDA) during the March quarter rose seven per cent to ₹4,395 crore with an EBITDA margin of 56.9 per cent. The return on capital employed (RoCE) improved to 29.1 per cent compared to 19.4 per cent in the year-ago period.

Indus Towers Q4 Results: Key Metrics

During the quarter, Indus Towers acquired passive infrastructure assets from Bharti Airtel and accounted for the same as a common control transaction “in accordance with Ind AS 103,” which requires restatement of Indus Towers' financial results from the date on which common control was established, i.e., November 19, 2024. Q4 FY25 financial results include an accounting impact of ₹183 crore for operating expenses and depreciation.

Prachur Sah, Managing Director and CEO, Indus Towers, said, “FY25 was an excellent year for us with an all-around performance. We delivered one of our highest-ever tower and co-location additions as we garnered a major share of customers’ rollouts. Further supplementing additions was the acquisition of an important tower portfolio."

"This has underpinned our robust financial performance, including healthy cash flow generation. I am also pleased that our continued engagement with a major customer ensured recovery of its overdues this year," said the CEO.

Indus Towers' Q4 FY25 had a write-back of Rs. 226 crore in provision for doubtful receivables, aided by collections against past overdue. Sah believes industry developments during the year have strengthened the company's and the sector's outlook. Indus Towers is confident about the "momentum" by capitalising on customers' network expansion and available strategic opportunities.

Indus Towers to declare dividend, buyback, bonus issue?

Indus Towers had announced last week that its board will meet on April 30 to consider a share buyback proposal, a bonus issue through shares or debentures, or a dividend, or any other permissible mode or combination thereof. After the board meeting outcome today, Indus Towers said,

“..The Board considered various avenues of enhancing shareholder returns, including buy-back, bonuses through shares, and/or debentures or dividends. After detailed deliberations, the Board decided to constitute a Committee to comprehensively evaluate all options/ dimensions and make a suitable recommendation to the Board for a final decision.”

If the company declares a bonus issue, it would mark the first time Indus Towers has done so since becoming a publicly listed entity. In 2024, Indus Towers conducted a share buyback—its first since 2016. Indus Towers has withheld dividends since 2022.

Indus Towers FY25 metrics

For the full year ended March 2025, Indus Tower's consolidated revenues stood at ₹30,123 crore, up 5.3 per cent. The consolidated profit after tax was ₹9,932 crore, up 64.5 per cent. Indus Towers is India’s leading provider of passive telecom infrastructure, and it deploys, owns and manages telecom towers and communication structures for various mobile operators.

Indus Towers on Thursday announced the acquisition of mobile sites of its parent firm Bharti Airtel and sister firm Bharti Hexacom for ₹3,308.7 crore, by way of a slump sale. The boards of Bharti Airtel and Bharti Hexacom have approved the sale of telecom towers for ₹2,147.6 crore and ₹1,134 crore, respectively.

With a portfolio of 249,305 telecom towers, Indus Towers is one of the largest tower infrastructure providers in the country, with a presence in 22 telecom circles. It caters to all wireless telecommunication service providers in India. On Wednesday, shares of Indus Towers settled 1.34 per cent higher at ₹408.05 apiece on the BSE.