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    Altius Telecom

    543225
    Telecommunication·13 Nov 2025
    Management Summary

    Altius Telecom, an infrastructure trust, reported robust H1 FY26 results with ₹121 billion in operating revenue and ₹42 billion in cash EBITDA, alongside a DPU guidance of ₹15.3 per unit for FY26. The company highlighted its strong balance sheet with a 47% net debt to AUM, long-term contracted assets, and successful integration of recent acquisitions. Altius is well-positioned to capitalize on India's accelerating digital consumption and 5G expansion, focusing on portfolio maximization and exploring new growth adjacencies.

    Highlights

    6

    • Operating Revenue for H1 FY26 stood at ₹121 billion, demonstrating stable performance.

    • Cash EBITDA for H1 FY26 reached ₹42 billion, reflecting strong operational efficiency.

    • Net Distributable Cash Flow for H1 FY26 was ₹26 billion, supporting consistent unitholder distributions.

    • The company provided a FY26 DPU guidance of ₹15.3 per unit, indicating continued returns.

    • Net debt to AUM is at a conservative 47%, offering significant headroom for financing future growth capex.

    • Altius has a weighted average lease expiry of nearly 17 years, with over 55% of tenancies contracted for 30 years, ensuring long-term revenue visibility.

    What Changed3

    vs Q4 FY26

    Guidance items0 → 6 (+6)Risks discussed0 → 2 (+2)Q&A highlights0 → 8 (+8)
    Key financials

    Metrics

    9

    Periods

    3

    Headline

    7
    • Operating Revenue
      $121B
    • Cash EBITDA
      $42B
    • Net Distributable Cash Flow
      $26B
    • Assets Under Management
      $914B
    • NAV per unit
      ₹154.91

    H1 FY26

    1
    • Distribution Per Unit
      ₹8.3

    FY25

    1
    • Distribution Per Unit
      ₹20

    Capital allocation

    6
    high confidence
    CategoryHeadline
    Debt

    Gross ₹440 billion

    Maturity: INR 44 billion in upcoming maturities

    Dividend

    ₹8.3/share (interim)

    M&A

    Summit Digitel

    acquisition · integrated

    M&A

    Crest Digitel

    acquisition · integrated

    M&A

    Elevar Digitel (formerly ATC India)

    acquisition · integrated

    Guidance & targets

    6
    CategoryTargetPriority
    Revenue
    Revenue CAGR
    4-7%
    		Medium
    Profitability
    EBITDA CAGR
    4-7%
    		Medium
    Dividend
    Distribution Per Unit (DPU)
    INR 15.3 per unit
    		High
    Dividend
    NDCF Distribution Policy
    at least 90%
    		High
    Other
    Escalation Rate for Tenancies
    2.5%
    		High
    Volume
    Average Data Consumption per user
    52 GB per month
    		Medium

    Incremental Market Share Gains

    Next call
    CurrentDiscussions ongoing with all operators
    TargetSpecific update on market share gains

    Why it matters

    Indicates success in leveraging integrated platform and competitive positioning to capture new business.

    in the new course, hopefully the next call, we should be able to give you a more specific update.

    How to verify

    detailed_narrative

    Risks & concerns

    2
    RiskSeverity

    Competitive pressure leading to tenant requests for discounts during contract renewals.

    While customers may ask for discounts, the disruption and cost of moving sites make it less viable for tenants, especially for fiberized sites, mitigating churn risk. — Both downplayed

    medium

    Impact of changing interest rate cycles on floating debt.

    29% of the loan book is floating, which could be affected by rate changes, but the majority is fixed, and the floating portion provides flexibility. — Management acknowledged

    low

    Q&A highlights

    8

    “the data consumption in India is continuing to grow. So, if you look at the smartphone penetration, today is 48%. That gives you a big headroom to grow. Combine it with the growth of internet penetration in the rural country. So, a combination of these two factors will cause more consumption of data consumption. That will require the network capacity to be augmented to support the demand.”

    Addresses the core growth thesis for tower companies despite 5G rollout completion by major telcos, highlighting continued demand drivers like smartphone penetration and rural internet growth.

    asked by Vivekanand S

    2 min read6 chapters

    Detailed Narrative

    01

    Successful Integration of Acquired Assets

    Altius Telecom has successfully completed the integration of Summit Digitel (2020), Crest Digitel (2022), and Elevar Digitel (2024) into a unified platform. This strategic consolidation, particularly focused on during H1 FY26, has created 'one Altius,' a scalable telecom infrastructure platform managing over 257,000 macro towers, IBS, and small cell sites across all 22 circles in India. This unification strengthens the company's portfolio and reinforces its leadership in enabling India's digital connectivity.

    02

    Robust H1 FY26 Financials and Consistent Distributions

    For H1 FY26, Altius reported an operating revenue of ₹121 billion, cash EBITDA of ₹42 billion, and net distributable cash flow of ₹26 billion. The company announced a distribution of ₹8.3 per unit for H1 FY26, with a full FY26 guidance of ₹15.3 per unit. Since inception, Altius has distributed a total of ₹192 billion (₹71 per unit) to unitholders, adhering to its policy of distributing at least 90% of its net distributable cash flow quarterly.

    03

    Conservative Financing and Proactive Debt Management

    Altius maintains a resilient and conservatively financed balance sheet, with an overall debt book of ₹440 billion and a net debt to AUM ratio of 47%, well below the SEBI leverage gap of 70%. The company successfully refinanced ₹66 billion of bank loans into longer-term bonds at lower yields and has ₹44 billion in upcoming maturities, presenting further opportunities to optimize debt costs and extend duration. Approximately 29% of the loan book is floating, providing flexibility amidst changing interest rate cycles.

    04

    Leveraging India's Digital Growth and 5G Expansion

    Altius is poised to benefit from India's rapid digital transformation, driven by a smartphone penetration of 48% and an average data consumption projected to reach 52 GB per month per user in the next five years. The company's diverse portfolio, including ground-based towers, rooftop sites, and compact small cells, caters to both wider coverage and densification needs for 5G, with a 52% market share in in-building solutions. Management anticipates a revenue and EBITDA CAGR of 4-7% reflecting underlying growth in towers and tenancies.

    05

    Stable Tenant Relationships and Long-Term Contracts

    The company benefits from long-term inflation-linked contracts, with a weighted average lease expiry of nearly 17 years and over 55% of tenancies locked in for 30 years. While customers may request discounts during renewals, the significant disruption and cost involved in moving sites, especially fiberized ones, make mass tenant churn unlikely. Altius focuses on value creation rather than discounting, ensuring stable and predictable returns from its blue-chip counterparties.

    06

    Exploring Adjacencies and Portfolio Maximization

    Beyond organic growth from existing operations, Altius is actively engaged in discussions with operators regarding adjacencies such as fiber and data centers, though these are in very initial stages. The immediate short to medium-term focus remains on maximizing the value of the existing portfolio by adding tenancies and increasing business, leveraging the integrated platform and deep relationships with all major telecom operators in India.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.