STL Q2 FY27 PAT Surges to ₹517 Cr as EBITDA Margins Double
Sterlite Technologies Limited (STL), [BSE: 532374, NSE: STLTECH], a major Indian Optical Fibre Cable (OFC) manufacturer, has posted its financial results for Q2 of FY27.
STL’s Q2 FY27 Standalone Financials
Sterlite Technologies reported a standalone revenue of ₹1,399 crore and a Profit After Tax (PAT) of ₹319 crore during Q2 FY27.
STL’s Consolidated Financial Results for Q2 FY27
YoY Comparison of STL’s Financials: Q2 FY27 vs. Q2 FY26
STL generated a consolidated topline of ₹2,529 crore from its operations during Q2 of FY27, which marks a remarkable 144.58% Year-over-Year (YoY) jump. During Q2 of FY26, STL revenue was reported at ₹1,034 crore.
The company’s Profit After Tax (PAT) also showed an impressive YoY growth of 129.25 times during Q2 of FY27, increasing to Rs. 517 crore. Q2 FY26 profit of STL was ₹4 crore.
Correspondingly, Earning Per Share (EPS) of the company was reported as ₹10.32 in Q2 of FY27, up from ₹0.08 for Q2 of FY26.
Tariff Refunds, Overseas and Data Centre Business Drive Profit
This massive surge in profit was aided in part by tariff refunds received by two of STL’s US subsidiaries from US Customs for tariffs previously paid on goods imported under the International Emergency Economic Powers Act (IEEPA), leading to a ₹161 crore net gain in Q2 FY27.
In addition to the US tax refunds, STL’s EBITDA margin doubled YoY from 13.6% in Q2 FY26 to 27.1% for Q2 FY27. The higher margin is the result of higher capacity utilisation, better customer mix and STL’s shift towards higher margin optical connectivity solutions instead focusing only on OFCs and optical fibre.
The company’s overseas business also grew significantly, driven by strong demand for AI and cloud infrastructure. Europe contributed 21% to the company’s revenue, while the rest of the world accounted for 18%.
The data center segment typically contributes to higher profitability as compared to the company’s telecom segment, and STL has been strategically pivoting its growth to the higher margin data center segment. This has also contributed to higher margins for STL during the quarter. Mr Ajay Jhanjhari, Chief Financial Officer of the company, said, “Our Data Center segment saw strong momentum, contributing 33% of revenue in H1 FY27. This keeps us firmly on track to scale the segment to 50% of revenue in the current fiscal.”
QoQ Comparison of STL’s Financial Figures: Q2 FY27 vs. Q1 FY27
On Quarter-over-Quarter (QoQ) basis, STL’s revenue from operations jumped by 32.41% from ₹ 1,910 crore, which was reported during Q1 of FY27. Following the same upward trend, the company’s PAT in Q2 FY27 increased by 162.44% from Q1 FY27 PAT of ₹197 crore.
Segment-Wise Analysis of STL’s Revenue
Segmental Revenue (in ₹ Crore)
Optical Networking Business: STL’s Optical Networking Business segment designs and manufactures optical fiber, optical fiber cables, and optical interconnect products, and brought in revenue of ₹2,461 crore in Q2 FY27. In this quarter, this vertical showed strong growth of 151.12% YoY compared to ₹980 crore reported in Q2 FY26.
Digital and Technology Solutions: The company’s Digital and Technology Solutions segment provides technology solutions to telecom companies. The segment grew by 32.31% YoY, increasing to ₹86 crore in Q2 FY27 from ₹65 crore in Q2 FY26.
About Sterlite Technologies Limited: Sterlite Technologies Ltd. is a global leader in end-to-end data network solutions, headquartered in Pune, Maharashtra. It has offices in India, China, US, SEA, Europe, and MEA. The company is specialized in optical fibre and cables, hyper-scale network design and deployment, and network software and offers bespoke integrated solutions.
