Tejas Networks' share price crashes over 12% as firm reports loss of ₹196 crore in Q3, revenue tumbles 88%; what led to the sharp slide?

The domestic telecom gear maker on Friday reported a ₹196.55 crore consolidated loss for the second straight quarter in the October-December period, mainly due to lower sales, including the deferment of a purchase order from state-owned BSNL.

The company had posted a profit of ₹165.67 crore a year ago.

Shares of the company tumbled as much as 12.68% to hit the day's low of ₹364.25 apiece on the NSE.

Its consolidated revenue from operations plunged by about 88% to ₹306.79 crore during the reported quarter from about ₹2,642 crore logged in the December 2024 quarter.

The company has been a key vendor for state-owned BSNL's 4G network as part of the CDOT-TCS consortium and claims to be the biggest supplier of network routers.

During the quarter under review, its purchase order worth ₹1,526 crore from BSNL for 18,000 sites was delayed.

Around 85% of Tejas Networks' revenue mix, excluding operating revenue, was from the domestic market and 15% from the international market during the reported quarter.

The company said it has maintained an inventory of ₹2,363 crore in the December 2025 quarter, which will be converted to finished goods and shipped in the upcoming months.

Tejas Networks has recorded a loss of ₹697.55 crore in the nine-month period ended December 31 and an 89% decline in revenue from operations at ₹793.69 crore.

It has reported cash of ₹537 crore in the December 2025 quarter.

The company claims to have multiple wins for private 5G deployments in India for applications in ports and mines, and it has been selected as the 5G radio network supplier on a section of the Delhi-Mumbai railway corridor for an Indian Railways' Kavach pilot.

The company also received ₹84.95 crore as PLI incentives for the March 2025 quarter during the reported quarter, thereby taking the total incentive received by the company under the scheme to ₹397 crore.

About Tejas Networks

Bengaluru-headquartered Tejas Networks – a Tata Group company – is a technology-driven broadband, optical and wireless networking services provider.

The company caters to markets across 75 countries. Incorporated in April 2000, the company designs, develops and manufactures carrier-class equipment needed for building telecommunication networks.

It specialises in setting up high-speed communication networks carrying voice data and video traffic from fixed-line, mobile and broadband networks.

The company is one of the top 10 global suppliers of broadband access and optical aggregation equipment. The Tata Group entity serves telecommunications and internet service providers, utilities, and defence and government entities. It has shipped more than 7,50,000 systems across the world till FY23.

Its products include carrier-grade optical transmission, fibre broadband, Ethernet/IP switching and routing, fixed and mobile wireless, and satellite communication equipment.

These are used in a range of locations over a telecom network, including cell towers, data centres, exchanges, utility sites, and customer premises. The company was listed on the bourses on June 27, 2017.