GTL Swings To Rs 609 Crore Profit In Q4 FY26 On One-Time Settlement Gains

GTL Ltd reported a sharp turnaround in the fourth quarter of FY26, posting a consolidated net profit of Rs 609.1 crore against a profit of Rs 11.2 crore in the corresponding quarter last year. This significant improvement was largely driven by exceptional gains linked to lender settlements. Revenue from operations, however, declined 16.7 percent year-on-year to Rs 58.2 crore in Q4 FY26 from Rs 69.9 crore a year earlier. Sequentially, revenue improved from Rs 55 crore reported in Q3 FY26. The company's quarterly trajectory reflected continued operational stress alongside significant exceptional income support. The telecom infrastructure and network services company recorded total income of Rs 59.2 crore during the quarter compared with Rs 70.6 crore in Q4 FY25, while total expenses surged to Rs 95 crore from Rs 46.1 crore a year ago due to elevated exchange losses and finance-related costs. Employee benefit expenses stood at Rs 19.3 crore, while exchange losses rose sharply to Rs 55.8 crore during the quarter. Sequentially, GTL's operational performance remained weak despite a modest recovery in revenue. The company reported a pre-exceptional loss before tax of Rs 35.8 crore in Q4 FY26 compared with a loss of Rs 2.6 crore in Q3 FY26. Exceptional gains of Rs 609.5 crore during the quarter lifted overall profitability. These gains included Rs 581.5 crore arising from the accounting impact of one-time settlements with lenders and Rs 28 crore of one-time revenue related to revised rates. For the full financial year FY26, GTL posted a net profit of Rs 582.5 crore compared with a net loss of Rs 8.4 crore in FY25, aided by exceptional items amounting to Rs 610.4 crore. Annual revenue from operations declined to Rs 224.4 crore from Rs 253.9 crore in FY25. The company said it has settled dues with eleven secured lenders under a one-time settlement framework and is awaiting sanctions from three remaining lenders. The auditor issued a modified opinion on the financial statements, noting that GTL had neither paid nor provided interest on borrowings from unsettled lenders. Had the interest been recognised, FY26 profit after comprehensive income would have reduced to Rs 370.3 crore from the reported Rs 582.5 crore.

(Source：The Free Press Journal)