Indus Towers Reports Steady Q1FY27 Growth; Announces Africa Expansion & CFO Transition

Indus Towers delivered stable financial and operational performance in Q1FY27, driven by consistent network expansion and strong colocation additions, while also marking a key leadership transition and international expansion. Key Financial Highlights (Q1FY27): Revenue: Gross revenue grew 4.6% YoY to ₹84.3 billion, with core rental revenue up 5.2% YoY to ₹53.7 billion. Profitability: EBITDA stood at ₹45.2 billion (+3.0% YoY). Adjusted for a ₹0.9 billion one-off receivable write-back in the prior year, underlying EBITDA growth was a robust 5.2% YoY. PAT increased marginally by 0.5% YoY to ₹17.5 billion. Cash Flow: Generated strong Free Cash Flow of ₹14.4 billion. Operational Milestones: Network Growth: Added ~3,100 macro towers and 4,200 colocations. The total macro tower base reached ~267,600 (+6.3% YoY), with colocations at 432,300 (+5.1% YoY). The industry-leading tenancy ratio remained stable at 1.62. Energy Efficiency: Diesel consumption fell 13% YoY despite network growth, aided by digital energy management and the addition of solar access to 3,700 sites (totaling 46,000 sites and 259 MW installed). Network uptime remained robust at 99.95%. Strategic Developments & Outlook: Africa Expansion: Secured regulatory approvals and operating licenses for rollout in Nigeria, Uganda, and Zambia, commencing in Q2FY27. The initial capex will be moderate and largely debt-funded, ensuring India’s free cash flow and dividend distribution policy remain unaffected. Leadership Change: Vikas Poddar concluded his successful five-year tenure as CFO, with the company ensuring a smooth leadership transition. Outlook: Despite moderate headwinds from renewal discounts and a shift toward leaner tower designs, Indus Towers continues to demonstrate strong operating leverage through disciplined colocation growth and energy cost optimization, while successfully executing its international growth strategy.