Tejas Networks shares hit 52-week low as Q1 earnings fail to impress investors; check details

The company, which supplied 4G gears to state-owned BSNL, had posted a profit of ₹77.48 crore a year ago.

The consolidated revenue of Tejas Networks plunged about 87% to ₹202 crore during the reported quarter from ₹1,563 crore in the June 2024 quarter.

Tejas explained that revenue came lower due to delays in receipt of purchase orders (PO) and inventory arrival and shipment clearances for a few customers.

“We won orders for our routers for Bharatnet Phase 3 and optical equipment from private operators in India. Our shortfall in revenue was due to delays in the receipt of a few purchase orders, including the expansion order from BSNL,” Tejas Networks COO Arnob Roy said in a statement.

Tejas Networks chief financial officer Sumit Dhingra said a net loss of ₹194 crore was largely due to lower revenue.

“We ended the quarter with an order book of ₹1,241 crore, representing a quarter-over-quarter growth of 22%. With the award of the expansion order of 18,685 sites of BSNL 4G to TCS, we expect to receive the corresponding PO (purchase order) for the supply of RAN equipment worth ₹1,526 crore,” he said.

During the quarter, the domestic telecom gear maker received ₹122.96 crore as PLI incentives for Q3 FY25.

Following this, shares of Tejas Networks tumbled over 10% to touch a one-year low of ₹627.45 apiece on Tuesday. Last seen, the stock was trading at ₹625.80 apiece, declining 6.53%.

Over the last five trading sessions, the stock has lost 6.6%, while over a six-month period, it has tanked 37.5%. Year-to-date, Tejas Networks shares have plunged nearly 45%.

The company’s market capitalisation stands at ₹11,570.40 crore.