Indus Towers shares Q1 results, announces Rs 2,640 crore buyback; key details

Shares of Indus Towers are in focus today after its board approved a proposal to buy back up to 56,774,193 fully paid up equity shares of the company, having a face value of Rs 10 each, at a price of Rs 465 per share, on proportionate basis, for an aggregate amount not exceeding Rs 2,640 crore through tender offer route. The Indus Towers' buyback price is at 4 per cent premium over Tuesday's closing price of Rs 447.05.   

The stock is also in focus as Indus Towers reported a consolidated net profit of Rs 1,926 crore for the June quarter, up 42.9 per cent YoY. The Q1FY25 print had a write back of Rs 760 crore in provision for doubtful receivables, aided by collections against past overdue. 

Indus Towers said its consolidated revenue for the first quarter came in at Rs 7,383 crore, up 4.3 per cent YoY. The consolidated Ebitda grew 29.4 per cent YoY to Rs 4,545 crore. Ebitda margin for the quarter came in at 61.6 per cent. 

Indus Towers said its return on equity (pre-tax) improved to 34.7 per cent against 18.7 per cent YoY  while its ROE (post tax) improved to 25.7 per cent against 13.8 per cent YoY. 

Indus Towers said the return on Capital Employed improved to 20.9 per cent against 13.8 per cent YoY basis. 

Managing Director and CEO Prachur Sah said: “Another quarter of robust tower additions reaffirms our competitive strength in the passive infrastructure space. Business growth along with continued collection of past dues underpinned our strong financial
performance. We expect network expansion and 5G deployments by our customers to continue to act as growth levers. We are confident of building on these opportunities to create value for our shareholders in a sustainable manner."