Bharti Hexacom Model Update

Research evidence excerpt

J P M O R G A N

Asia Pacific Equity Research

06 August 2026

Bharti Hexacom

Overweight

BHAX.NS, BHARTIHE IN

Price (05 Aug 26):Rs1,552.70

Model Update

Price Target (Mar-27):Rs1,880.00

We update our estimates following the 1Q print. Revenues grew 4% QQ, Ebitda

also grew 4% QQ while margins expanded 20bps QQ to 53%. Growth was led by

a 3% increase in wireless ARPU (Rs259 vs JPMe at Rs255) while subscribers grew

~1% (broadly inline with JPMe). We make minor adjustments to our estimates as

we increase revenues/Ebitda by 1% over FY27-29E, mainly led by ARPU upgrade

given the beat in 1Q. Remain OW with unchanged PT of Rs1,880.

Head of APAC Telecoms and India

TMT Research

Hexacom’s EV/Ebitda premium to Bharti has shrunk to 17% and gone below its

2Y average premium of 28% making Hexacom stock more attractive than

BHARTI (OW), in our view.

(91-22) 6157-3871

J.P. Morgan India Private Limited, J.P. Morgan

Tower, Santacruz(E), Mumbai - 400098, SEBI

Registration: INH000001873, (91-22) 6157-3000.

Table 1: Change in estimates

Harshit Sharma

New

Target Price

1,880

Recommendation

Old

% change

1,880

0%

OW

FY27E

FY28E

FY29E

Current Estimate

Old Estimate

% change

Current Estimate

Old Estimate

% change

Current Estimate

Old Estimate

% change

Revenues (Rs mn)

109,904

108,666

1%

127,586

126,178

1%

142,897

141,363

1%

EBITDA (Rs mn)

59,099

58,916

0%

72,034

71,112

1%

82,661

81,623

1%

11bps

Ankur Rudra, CFA AC

(65) 6801-3237

J.P. Morgan Securities Singapore Private Limited

Bhavik Mehta, CFA

(91-22) 6157-5879

J.P. Morgan India Private Limited, J.P. Morgan

Tower, Santacruz(E), Mumbai - 400098, SEBI

Registration: INH000001873, (91-22) 6157-3000.

Consolidated estimates

EBITDA Margin

53.8%

54.2%

-44bps

56.5%

56.4%

10bps

57.8%

57.7%

EBIT (Rs mn)

38,702

39,460

-2%

52,367

52,011

1%

63,516

62,953

1%

EBIT Margin

35.2%

36.3%

-110bps

41.0%

41.2%

-18bps

44.4%

44.5%

-8bps

PAT (Rs mn)

25,859

27,141

-5%

36,361

36,132

1%

44,497

44,115

1%

FCF

35,958

34,423

4%

43,430

42,495

2%

53,598

52,840

1%

21

22

-5%

29

1%

36

35

1%

Subscribers (000)

29,824

29,974

-1%

31,024

31,174

0%

32,224

32,374

0%

Net additions (000)

1,050

1,200

-13%

1,200

0%

1,200

0%

ARPU

276

271

2%

307

302

2%

331

326

1%

DPS (Rs)

Key Changes (FYE Mar)

…