This Tata Group Stock, engaged in designing, developing, and manufacturing telecom and networking products, offering solutions for wireless, optical, broadband, and satellite communication technologies, jumped 5 percent after receiving Rs. 123 crore from the Department of Telecommunications under the Production Linked Incentive (PLI) Scheme.
With a market capitalization of Rs. 12,860.93 crores, the share of Tejas Networks Limited has reached an intraday high of Rs. 750 per equity share, rising nearly 4.81 percent from its previous day’s close price of Rs. 715.60. Since then, the stock has retreated and is currently trading at Rs. 728.30 per equity share.
Tejas Networks Limited has received Rs. 122.96 crore from the Department of Telecommunications under the Production Linked Incentive (PLI) Scheme for Telecom and Networking Products.
This amount represents 85 percent of the eligible incentive for the third quarter of FY 2024-25. The remaining amount is expected to be received later as per the PLI Scheme guidelines. This support reflects the government’s ongoing encouragement for domestic manufacturing in the telecom sector.
Tejas Networks Limited was founded in 2000 and is headquartered in Bangalore, Karnataka. The company is part of the Tata Group and specializes in the design, development, and manufacturing of optical, broadband, and wireless networking products.
The company serves telecom service providers, internet service providers, utilities, defense, and government entities in over 75 countries, with a significant presence in Southeast Asia and Africa.
Tejas Networks provides a wide range of telecom products, including 4G/5G wireless solutions, high-speed fiber broadband, optical transmission systems, and advanced routing and switching equipment. The company also offers satellite and Direct-to-Mobile communication platforms, along with smart network management tools that help detect and fix issues early.
Coming into financial highlights, Tejas Networks Limited’s revenue has increased from Rs. 1,327 crore in Q4 FY24 to Rs. 1,907 crore in Q4 FY25, which has grown by 43.71 percent. The net profit of the company has turned into a net loss, from Rs. 147 crore in Q4 FY24 to Rs. -72 crore in Q4 FY25.
Tejas Networks Limited’s revenue and net profit have grown at a CAGR of 102.85 percent and 85.20 percent, respectively, over the last four years.
In terms of return ratios, the company’s ROCE and ROE should be 15.5 percent and 12.8 percent, respectively. Tejas Networks Limited has an earnings per share (EPS) of Rs. 25.3, and its debt-to-equity ratio is 0.89x.
Written By – Nikhil Naik
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