Tejas Networks, a Tata Group-backed company, continued its upward trajectory, soaring another 15.5% in early morning trade to reach a new all-time high of 1,046.95 apiece. This remarkable rise follows a 17% rally in the previous trading session.
The surge in share prices is a direct result of the company’s exceptional financial performance in Q4FY24, released after market hours on Monday. During the quarter ended March (Q4FY24), Tejas Networks achieved profitability with a net profit of 147 crore, marking a significant turnaround after nine consecutive quarters of net losses.
Revenue from operations during this period also saw an impressive 343% year-on-year increase to 1,171 crore. Looking at the company’s performance for the entire fiscal year FY24, net profit reached 63 crore, indicating substantial improvement from net losses of 36 crore and 63 crore reported in FY23 and FY22, respectively. Furthermore, revenue from operations for FY24 surged by 168% year-on-year to 2,471 crore.
At the end of FY24, Tejas Networks’ order book stood at 8,221 crore. As per its investor presentation, the company is making progress in installing 4G/5G RAN for BSNL’s nationwide network, with equipment shipped to over 10,000 sites.
In March, Tejas Networks entered into an agreement with Telecom Egypt, the Information Technology Industry Development Agency, and the National Telecom Institute to replicate its success in implementing Bharatnet and NKN projects in Egypt. The company also secured strategic wins for DWDM and switching and routing products in the critical infrastructure sector during the quarter.
During the quarter, Tejas Networks received 32.66 crore as incentives for FY 2022-23 under the PLI Scheme for Telecom and Networking Products. Additionally, Saankhya Labs was approved under the semiconductor DLI scheme.
