Shares of Tejas Networks, a Tata Group company spiked 6.47% on Wednesday’s early Trades to reach an intraday high of ₹ 656.00 apiece on the National Stock Exchange after ICRA reaffirmed its credit rating.
ICRA is required to review its ratings on an annual basis or as and when circumstances warrant. The credit rating agency, based on a review of the latest developments in Tejas Networks, has reaffirmed its short-term credit rating at [ICRA]A1+ and its long-term credit rating at [ICRA]A+ with a stable outlook. These credit ratings should not be treated as a recommendation to buy, sell, or hold the rated bank facilities.
About a week ago, Tejas Networks received an advance purchase order worth ₹ 696 crores from Bharat Sanchar Nigam Limited (BSNL) for the upgradation of its pan-India IP-MPLS based Access and Aggregation Network (MAAN) using its state-of-the-art routers. It was the largest order that the company won in its history.
Tejas Networks is a global R&D-driven telecom equipment company that designs, develops and manufactures high-performance optical and data networking products that are used by telecom service providers, utilities, government and defence networks. It has a market capitalization of ₹ 10,374 crores and is a small-cap company.
The company posted revenue of ₹ 274.55 crores in the December quarter of 2022, up 156.44% year-on-year (YoY). It reported a revenue of ₹ 107.06 crore in the corresponding quarter last year. Moreover, the company’s loss reduced from ₹ 24.3 crores in the December quarter of 2021 to ₹ 10.88 crores in the December quarter of 2022.
Written by Simran Bafna
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