Indus Towers cuts diesel use 11%; eyes Africa entry

Indus Towers Limited (INDUSTOWER) MD & CEO Prachur Sah said total diesel consumption in H1 declined 11% YoY driven by energy-saving initiatives. Solar investments are expected to boost service revenue. The orderbook remains healthy, with the second customer now ramping up rollouts following funding. Management believes revenue growth of 5-6% is reasonable given the company’s large existing base. The company is entering Uganda, Zambia and Nigeria as part of its long-term Africa growth strategy. Solar deployments, batteries and AI-led energy management are supporting lower diesel consumption and cost efficiencies. The key triggers are the 11% YoY decline in H1 diesel consumption and the planned expansion into Uganda, Zambia and Nigeria. This supports margin improvement through energy efficiency and opens a long-term growth avenue beyond India. Peers such as HFCL, Tejas Networks and Bharti Hexacom may face comparison on infrastructure rollout and energy cost management. Near-term prices could react positively to cost-saving initiatives and Africa entry plans. Risks include slower customer ramp-up, higher diesel prices, or execution delays in African markets. Competitors listed: HFCL, Tejas Networks, Bharti Hexacom. We have no financial interest in this news.