This order is part of the advance purchase order worth Rs 179 crore issued by BSNL to the company. The balance order of Rs 38 crore is expected to be released on completion of supply against the current purchase order.
The scope of work under this purchase order encompasses initial planning, on-site surveys, the supply of telecom equipment, installation, testing, operations and annual maintenance among other services.
Under this win, the company will offer product and services to BSNL crucial for supporting their 4G network. This network upgrade is poised to provide latest technology yet cost effective backhauling solutions of BSNL’s 4G network and lay the foundation for 5G capabilities.
Mahendra Nahata, managing director, HFCL, said, “This significant order cements HFCL's position as a leader in indigenous 4G and 5G technology solutions.
With a strategic “Make in India” approach, our cutting-edge 4G and 5G backhauling solution emphasizes capturing opportunities in global markets while aligning with the India Stack initiative. The deployment of these advanced solutions promises higher data transfer rates, low latency and enhanced reliability and performance.”
As per the industry report from Markets & Markets, the global mobile and wireless backhauling market, valued at $9.3 billion in 2020, is projected to reach $15.5 billion by 2026, with a compound annual growth rate (CAGR) of 8.8% during the forecast period.
"With its focus on innovation and strong customer relationships, HFCL is well posied to take advantage of these emerging opportunities the world over,” the company said in a statement.
HFCL is a technology enterprise with operations in manufacturing of high-end telecom equipment, optical fiber and optical fiber cables and offering communication network solutions for telcos, defence and railways.
The company’s consolidated net profit declined 14.45% to Rs 82.24 crore on 4.93% fall in net sales to Rs 1,032.31 crore in Q3 FY24 over Q3 FY23.
The scrip fell 2.60% to currently trade at Rs 91.80 on the BSE.