HFCL, a telecom infrastructure company, has witnessed a significant surge in its stock value this month, gaining 26%. Over the past two years, the stock has seen a gain of 241% and over the last five years, it has gained 293%. The stock has delivered a whopping return of 894% over the last deca
HFCL (Himachal Futuristic Communications Limited), a company with diverse operations in telecom infrastructure, has experienced a remarkable surge in its stock value this month. The stock has demonstrated the strongest monthly performance since June 2021, registering a notable gain of 26% thus far.
The stellar performance has propelled the stock to a gain of 301% over the past three years. Over the last decade, the stock has delivered a whopping return of 894%.
According to analysts, Indian companies engaged in the optical fiber business are strategically positioned, benefiting from the nation's extensive digitisation initiatives. In August, India's Commerce Ministry imposed anti-dumping duties on the import of optical fibers and related products, specifically targeting goods from China as well as other Asian countries like Indonesia and Korea.
As India emerges as one of the fastest nations to roll out the 5G network, 5G technology has already become a global phenomenon. As 5G continues its global proliferation, ensuring foolproof and efficient last-mile connectivity becomes paramount for the network's overall performance and efficiency. To fully unleash 5G's potential, it is crucial to provide robust last-mile solution that cater to the diverse needs of telecom service providers and end-users.
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Recognising this imperative need, HFCL has introduced indigenously developed 5G Fixed Wireless Access (FWA) products and has become the first Indian company to present its indigenously designed and developed 5G Fixed Wireless Access (FWA) Customer Premise Equipment (CPE) solution, as per the company's exchange filing.
In October, the company launched the country's first indigenously designed and developed 2 Gbps Unlicensed Band Radio (UBR) for enterprises and telcos.
This year, the company has secured several significant orders for the supply of optical fiber cables to domestic telecom service providers. On December 2, the company, along with its material subsidiary, HTL Limited, received purchase orders totaling ?67 crore for the supply of optical fibre cables to one of the domestic telecom service providers.Also Read: The telecom bill is like a curate’s egg: It is good in parts
Moreover, in August, the company received purchase orders aggregating to ?137.63 crore from Reliance Retail Limited. This order is for the supply of optical fiber cables. In May, it received a ?42.71 crore order from Reliance Jio Infocomm Limited for the supply of indigenously designed, developed, and manufactured 700 MBPs and 1GPBS point-to-point unlicensed band radios (UBRs).
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As of the end of Q2FY24, the company's order book stands strong at ?7,078 crore, showcasing significant growth from ?5,280 crore in Q2FY23. For the September quarter, the company reported a 5.28% YoY decline in consolidated revenue to ?1,111 crore.
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