Are Indus Towers latest results good or bad?

Indus Towers has reported its financial results for the quarter ending March 2025, showcasing a mix of operational trends. The company achieved net sales of Rs 7,727.10 crore, which represents the highest quarterly sales in the last five quarters, indicating a positive near-term sales trend with a growth of 2.38% compared to the previous quarter. Additionally, the debt-equity ratio improved to 0.65 times, reflecting a reduction in borrowing relative to equity capital, and the debtors turnover ratio increased to 6.32 times, demonstrating enhanced efficiency in settling debts.
However, the results also reveal significant challenges. Profit Before Tax (PBT) declined to Rs 2,271.30 crore, which is a notable decrease of 29.7% compared to the average of the previous four quarters. Profit After Tax (PAT) also fell by 28.9%, landing at Rs 1,779.10 crore. The company faced rising interest costs, with quarterly interest expenses increasing by 69.25% to Rs 430.90 crore, suggesting difficulties in managing interest payments. Furthermore, Earnings per Share (EPS) dropped to Rs 6.74, marking the lowest level in five quarters and reflecting a decline in profitability for shareholders.

In light of these results, the company saw an adjustment in its evaluation, reflecting the mixed operational performance amid the challenges faced.