This Tata Group stock is in focus after receiving approval from the Department of Telecommunications to let other companies use Nelco’s satellite services under their own brand. The stock jumped by 3.35 percent following the news
With a market capitalisation of Rs. 2,521 Crore, the stock of Nelco opened at Rs. 1132.55, up 0.77 percent from yesterday’s close, and after opening, it made a high of Rs. 1,161.50, up 3.35 percent. Additionally, the Yearly return for the stock is 38 percent, and the past 5-year return is an impressive 453 percent.
License Grant Update
The company has received significant regulatory approval from the Department of Telecommunications, Ministry of Communications, Government of India. The company has been granted a Unified License – VSAT Virtual Network Operator (UL VSAT-VNO) authorisation for services at the national level.
Nelco can now let other small companies (like local internet providers, system integrators, etc) use its satellite services under their own brand, without needing to set up their own satellite systems. This license is valid for 10 years.
Nelco Limited, a part of the Tata Group, is a leading Indian company specialising in satellite communication and network services. It offers end-to-end solutions in areas such as VSAT connectivity, in-flight and maritime communication, and integrated network management. The company provides critical communication infrastructure and services to various sectors
The company reported a 17.07 percent YoY decrease in revenue from Rs. 82 Crore in Q4FY24 to Rs. 68 Crore in Q4FY25. On a QoQ basis, the company reported a decrease of 16.04 percent in revenue from Rs. 81 Crore in the previous quarter.
Their Net profit of Rs. 6 Crores saw a turnaround to a loss of Rs. 4 Crore on a YoY basis from Q4FY24 to Q4FY25. On a QoQ basis, also the Net Profit of Rs. 5 Crore saw a turnaround to a loss of Rs. 4 Crore from Q3FY25 to Q4FY25.
Written By Abhishek Das
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