Tejas Networks (TEJASNET) Q2 24/25 earnings summary

Executive summary

• Achieved record quarterly revenue of INR 2,811 crores (₹2,811.26 crore), a 7.1x year-over-year increase, and profit after tax of INR 275 crores (₹274.53 crore), marking the highest in company history.

• Major ramp-up in 4G/5G RAN systems, with over 38,000 sites shipped this quarter and more than 58,000 cumulatively to BSNL, alongside new international wins in Americas and Africa.

• Completed merger/amalgamation with Saankhya Labs and Saankhya Strategic Electronics, expanding technology capabilities and operational synergies.

• Order book at quarter-end stood at INR 7,845 crores (some reports cite INR 4,845 crores), with strong execution in domestic and select international markets.

• Significant turnaround from prior year losses, with six-month profit after tax at ₹350.85 crore.

Financial highlights

• Total revenue for Q2FY25 was INR 2,811 crores, up from INR 396 crores in Q2FY24; EBIT margin improved to 16.3%–16.4%.

• PAT for Q2FY25 was INR 275 crores, compared to a loss of INR 13 crores in Q2FY24.

• PLI incentives of INR 156.10 crores for the quarter and INR 222.80 crores for the six months were recognized.

• Inventory at INR 3,411 crores, with trade receivables at INR 3,758 crores due to higher shipments.

• Cash position at INR 583 crores; borrowings at INR 2,768 crores.

Outlook and guidance

• Targeting large opportunities in BSNL 4G expansion, optical upgrades, Indian Railways collision avoidance, and private 5G enterprise applications.

• Bidding for BharatNet Phase 2, utility network expansions, and international modernization deals.

• Long-term outlook remains positive, driven by digital transformation, AI data centers, broadband, and smart city investments.

• Management expects continued compliance with PLI scheme conditions and further grant receipts.