One of India’s leading Optic Fibre Cable producers Hindustan Futuristic Communications Ltd. has planned to ramp up Optical Fibre Cables (OFC) production capacity, including Fibre-To-The-Home (FTTH) cable, by 30 per cent at the company’s Hyderabad plant over next six months. HFCL is also planning to invest Rs 125 Cr in R&D during 2020-21.
HFCL – Thought Behind The Capacity Enhancement, R&D
HFCL is expecting good demand for its fibre optic cables in coming five years.
“Government launching PM-Wani (public WiFi), connecting the country with optic fibre cable network through Bharat Broadband, pushing for ‘make in India’, especially for critical sectors like communication and with the pandemic-induced massive uptake for fiber-to-the-home (FTTH) due to increasing demand for high speed broadband, all together were creating massive opportunities for companies like HFCL”, said Mahendra Nahata, Managing Director, HFCL as reported in ET dated 18th January 2021.
Order book of HFCL stood at ₹7,313 crore as of 31st December 2020 with execution over the next 1.5 years.
Reliance Jio and Bharti Airtel, are aggressively focusing on creating a dense FTTH networks in big cities for triple-play services.
Mahendra Nahata said “With an attractive pipeline ahead, and we are seeing good opportunities for our indigenously designed and developed products that has application across industries such as telecom, Railways and Defence,” reported in Hindu Business Line dated 17th January 2021.
Q3 FY20 Financial Highlights of the Hindustan Futuristic
Net sales of HFCL was Rs. 1,188 crore in Q3 FY20, which is up by 46.26 % as compared to Q3 FY19 which was Rs. 812.87 crore. Net profit of HFCL has also gone up by 51.14% at Rs. 75.04 crore as compared to Rs. 49.65 crore of same quarter last year.
About The Company: HFCL was formerly known as Himachal Futuristic Communications Ltd., it has its corporate office in Gurgoan. It manufactures optic fibre cable, telecom equipment and has cable business with backward integration into fibre. HFCL has three facilities in Hyderadad, Chennai and Goa. Currently, HFCL manufactures about 19 million Km of OFC per year.