Indus Towers has released its financial results for the first quarter of the fiscal year 2025, showcasing a notable increase in revenue and profit while also unveiling a significant buyback plan.

For the quarter ending in June, the company reported a consolidated revenue of Rs 7,383 crore, marking a 4.3% year-on-year (YoY) growth.

This revenue growth was complemented by a substantial rise in consolidated Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA), which surged by 29.4% YoY to reach Rs 4,545 crore.

The EBITDA margin for the quarter was robust, standing at 61.6%.

The board of Indus Towers has approved a proposal for a share buyback, which has drawn considerable attention.

The plan involves repurchasing up to 56,774,193 fully paid-up equity shares, each with a face value of Rs 10, at a buyback price of Rs 465 per share.

This buyback is expected to be executed via a tender offer route, with a total expenditure not exceeding Rs 2,640 crore.

The buyback price represents a 4% premium over the closing price of Rs 447.05 recorded on the previous trading day.

In addition to the buyback announcement, Indus Towers reported a substantial increase in its consolidated net profit for the quarter.

The company’s net profit reached Rs 1,926 crore, a remarkable 42.9% increase from the same period last year.

This impressive profit growth was partly due to a write-back of Rs 760 crore related to provisions for doubtful receivables, driven by collections of overdue amounts.

The company’s performance metrics also showed significant improvements.

The Return on Equity (ROE) before tax rose to 34.7%, up from 18.7% YoY, while the post-tax ROE increased to 25.7%, compared to 13.8% YoY. Additionally, the Return on Capital Employed (ROCE) improved to 20.9%, a significant rise from 13.8% in the previous year.

Prachur Sah, Managing Director and CEO of Indus Towers, highlighted the company’s continued growth and financial stability.

He stated, “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 anticipate that network expansion and 5G deployments by our customers will continue to serve as key growth drivers.

We are confident in leveraging these opportunities to create sustainable value for our shareholders.”

The combination of strong financial results and a substantial buyback plan underscores Indus Towers’ solid position in the market and its commitment to enhancing shareholder value.