HFCL shares surge 16% in three sessions; here is why the stock is soaring

Shares of HFCL, the country's leading telecom infrastructure developer, rose for a third straight session on Tuesday, September 8. In the three sessions, HFCL shares have surged as much as 16% to an intraday high of ₹255 on BSE, data from the stock exchange showed.

On the National Stock Exchange (NSE), HFCL shares have gained 16% to touch an intraday high of ₹255.15.

HFCL shares came under buying interest after the company in its annual report said that its revenue in financial year 2026 rose 21.77% to ₹4,949 crore, EBITDA jumped 63% to ₹827 crore, net profit advanced 90% to ₹329 crore and earnings per share surged by 73% to ₹2.13 per share.

HFCL said that its strong and diversified order book of ₹26,665 crore as on June 30, 2026, secures multi-year revenue predictability across optical fibre cable (OFC), telecom, defence and connectivity solutions.

"This balanced order book across multiple sectors strengthens business resilience, reduces dependence on any single market segment and creates a scalable platform for future growth," HFCL said.

The rapid adoption of AI and data-intensive technologies is driving significant growth in global data centre investments, creating sustained demand for high-capacity connectivity infrastructure, HFCL said.

“HFCL views this as a long-term structural opportunity and is strengthening its manufacturing capabilities to support the evolving requirements of digital networks worldwide. Through targeted capacity expansion, the Company is enhancing supply chain resilience, improving operational efficiency and building a scalable platform for future growth. Planned expansions include increasing annual optical fibre capacity to 38.50 million fibre kilometres (fkm), expanding optical fibre cable capacity to 56.36 million fkm and establishing a dedicated defence manufacturing facility in Andhra Pradesh,” the telecom company said.

These investments are expected to position HFCL strongly to address rising demand across telecom, data centre, broadband and defence sectors while driving sustainable growth and profitability over the long-term, the Delhi-based company added.

HFCL said that the company has successfully diversified into defence electronics, extending its technology capabilities to serve the defence and aerospace sectors.

"As global defence modernisation accelerates and geopolitical developments reshape procurement priorities, HFCL is strategically positioned to capitalise on a broader spectrum of high-value opportunities across the defence ecosystem," the company said.

During the financial year 2026, HFCL diversified its product portfolio to address the evolving needs of a wide range of customers across sectors.

As of 11:45 am, HFCL shares traded 4.11% higher at ₹253, outperforming the NIFTY500 index which was down 0.2%.