Indus Tower shares slip nearly 6% as net profit falls 9.8% YoY to ₹1,737 crore in Q1; EBITDA margin contracts

Shares of Indus Tower slumped 5.79% to an intra-day low of ₹361.55 apiece on the National Stock Exchange (NSE) on Thursday, July 31, after the company announced its first quarter results for the 2025-26 financial year (Q1FY26).

During the June quarter of FY26, the telco’s consolidated net profit fell 9.82% year-on-year (YoY) to ₹1,736.8 crore, compared to ₹1,925.9 crore in the first quarter of the previous fiscal year.

Sequentially, its net profit fell 2.37% quarter-on-quarter (QoQ) from ₹1,779.1 crore in Q4FY25.

The firm’s revenue from operations stood at ₹8,058 crore in the reporting quarter, marking a 9.1% YoY jump from ₹7,383 crore in Q1FY25 and a 4.28% QoQ improvement from ₹7,727.1 crore in the previous quarter. Its revenue comprises primarily revenues from colocations and their energy billings, it said in a regulatory filing.

At an operational level, Indus Tower’s EBITDA (earnings before interest, tax, depreciation and amortisation) decreased by 3.4% YoY to ₹4,390 crore in Q1FY26, as against ₹4,545 crore in the June FY25 quarter.

Its EBITDA margin contracted to 54.5% in the first quarter of FY26 from 61.6% in the year-ago period.

At the end of the first quarter, the telecom firm’s total tower base stood at 2.51 lakh (or 2,51,773), up by 25,863 from 2.26 lakh (or 2,25,910) in the corresponding period last fiscal year.

Commenting on the earnings, Prachur Sah, Managing Director and CEO, Indus Towers Limited, said: “We are pleased to have begun the year on an encouraging note, underpinned by healthy co-location additions, including substantial deployment on our existing towers. Our inherent strengths as a leading passive infrastructure player continue to help us achieve a meaningful share of our customers’ rollouts.”

“Given the transformative potential of new age technologies, we continue to make investments in AI and digital solutions, aimed at future-proofing our operations. We believe that our scale, agility, and tech-forward approach position us favourably to capitalize on emerging opportunities amidst the backdrop of a rapidly evolving industry landscape,” he added.

The Indus Tower stock was trading 3.82% lower at ₹369.15 per equity share, as of 1:09 pm.

The company has a total market capitalisation of ₹97,229.49 crore, as of July 31, as per data on the NSE.