Reasons behind the rise of HFCL

  • Post category:India
  • Post comments:0 Comments

Hello! In this blog we are going to discuss about HFCL, how it rose so much?, What are the reasons behind it? And should I invest in it or not? So let’s get started:

image from the economic times

What is HFCL?

HFCL (Himachal Futuristics Communication Limited) is an Indian-based Telecom company with its headquarters in Delhi. It was founded in 1987 by Mahendra Nahata(MD), Dr.Deepak Malhotra, and Vijay Maloo.

It engages in the manufacturing and supplying of high-end fiber optic cables, Telecom equipment, and electronic parts.

HFCL is the biggest fibre optical cable manufacturer in India.

HFCL Share price and growth:

HFCL recently announced its first-quarter results that ended in June 2021 and it clearly shows that the company has become bullish, the company’s net profit grows 316.41% to 87.82 cr, if we see the company’s previous year’s quarter graph that also ended in June 2020 it profit was only 21 cr.

The company’s revenue in this quarter is also just shattering the roof it increased 72% to 1206.87 cr in the quarter that ended in June 2021 and in the previous year’s first quarter it was only 699 cr.

The share price of HFCL as of July 2021 is between 70 to 100 ruppees.

Reasons behind the massive growth of HFCL:

The company’s bullish growth is very much rooted in 5g. As the 5g market is growing rapidly and telecommunication company’s like Airtel and Jio’s 5g in-house plans will give a great push to the company’s growth.

He also stated that the expansion through Bharatnet and demand for fiber to home throughout the country will need fiber optic cables, infrastructure, and many such things will keep giving profit to the company.

The company is also investing heavily in the research and development of their new product 5g Radio Access Network (RAN) and 5g transport equipment for national and international markets.

The company’s aim is to make a big portfolio of products in India and export it as well.

So this is our blog about HFCL.

– Shivam Shaw

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.