31 Jul , 2025 By : Debdeep Gupta
Indus Towers reported a 9.8 percent on-year drop in net profit to Rs 1,737 crore for the June quarter, as surging power, fuel, employee and maintenance costs eroded margins, even as revenue rose and cash-strapped Vodafone Idea resumed timely payments.
The passive infrastructure company, now a Bharti Airtel subsidiary, posted a 9.1 percent revenue growth to Rs 8,058 crore, but total expenses jumped 29.2 percent on-year to Rs 3,667.5 crore. Power and fuel costs alone rose 5.8 percent to Rs 3,068.7 crore, with employee benefit and repair & maintenance expenses climbing 8.2 percent and 2.9 percent respectively.
Indus wrote back Rs 88 crore of provisions against Vodafone Idea’s dues during the quarter, reducing its doubtful receivables allowance to Rs 209.9 crore from Rs 298.1 crore a quarter ago.
However, the company warned that any loss of business from Vodafone Idea could hit its financials sharply.
During the quarter, Indus added 2,468 macro towers, taking its network to 251,773 sites, and increased co-locations by 5,777 to 411,212. Net finance costs fell 2.9percent on-year to Rs 396.5 crore.
"Our inherent strengths as a leading passive infrastructure player continue to help us achieve a meaningful share of our customers’ rollouts,” said Prachur Sah, managing director and chief executive officer, Indus Towers.
He added that the company continues to make investments in emerging technologies including in AI and digital solutions, aimed at future-proofing its 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."
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