Shares of this small-cap stock under the Tata Group universe gained up to 2 percent after the company received a purchase order from another in-house entity under the group worth Rs 107.73 crores.
With a market capitalization of Rs 15,063.61 crores, the stocks of Tejas Networks Limited, a Tata Group company, opened their trading hour on Friday at Rs 906.90 and currently trades at Rs 888.
The company’s scrip witnessed an intra-day high recorded at the same open price indicating a jump of around 2 percent compared to the previous close of Rs 888.90 apiece.
In a recent regulatory filing with the Bombay Stock Exchange (BSE) dated 19th October 2023, the company intimated that it has received a purchase order from Tata Consultancy Services Limited (TCS) worth Rs 107.73 crores to supply equipment for BSNL’s 4G/5G network on a Pan-India basis.
The above order is been received as a part of the ‘Master Contract’ executed between the two Tata Group companies dated August 16th, 2023.
During the recent financial quarters, the company has underperformed with its operating revenues going down from Rs 299.32 crores during Q4FY22-23 to Rs 187.89 crores during Q1FY23-24. Moreover, the bottom-line numbers saw a dip by way of widening losses from Rs 11.47 crores to Rs 26.29 crores keeping the timeframe the same.
Coming onto the debt-to-equity ratio, which is one of the most popular leverage metrics, the company has maintained a ‘nil’ status for the past few financial years.
As per the shareholding pattern data available for the quarter ended September 2023, the company’s Promoters hold a 55.92 percent stake, and the Foreign Institutional Investors (FIIs) hold a considerable stake of 11.11 percent in the company.
Tejas Networks Limited is an optical and data networking products company that is engaged in the business of designing, developing, and manufacturing high-performance products to build communication networks that carry data, voice, and video traffic from fixed mobile & broadband networks.
Written by Amit Madnani
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