Tejas Networks reported a consolidated net loss of Rs 71.80 crore for the fourth quarter of the financial year 2025 (Q4 FY25), a sharp contrast to the net profit of Rs 146.78 crore recorded in the same quarter of the previous year. Despite the net loss, the company’s performance reflected remarkable operational strength and strategic moves positioning it for strong growth in FY26.

Revenue Soars Despite Bottom-Line Pressure

Tejas Networks delivered a stellar performance in terms of revenue, posting total revenue from operations of Rs 1,906.94 crore in Q4 FY25. This marked a 43.73% increase compared to Rs 1,326.88 crore recorded in Q4 FY24. The surge demonstrated robust demand across key product lines and successful execution of major projects, especially the large-scale BSNL 4G/5G network rollout.

The company’s profit before tax (PBT) also showed impressive growth, soaring 77.13% to Rs 1,960.07 crore in Q4 FY25 from Rs 1,106.56 crore in Q4 FY24. However, increased R&D investments and one-time inventory-related expenses impacted the final net profitability.

Healthy Financial Metrics and Strong Cash Position

Tejas Networks maintained strong liquidity as cash and cash equivalents rose to Rs 827 crore at the end of Q4 FY25, reflecting a 28.61% year-on-year (YoY) increase from Rs 643 crore in Q4 FY24. This growth demonstrated prudent financial management despite heavy investments in technology development and global expansion.

The company’s order book stood at Rs 1,019 crore at the close of Q4 FY25, indicating a healthy pipeline of future revenue. This strong order book further underlined the company’s successful strategy of expanding product offerings and entering new markets.

Exceptional Full-Year Performance

On a full-year basis, Tejas Networks achieved phenomenal growth. The net profit zoomed 609.52% to Rs 447 crore in FY25 compared to FY24. Simultaneously, the company’s revenue from operations surged 261.10% to Rs 8,923 crore in FY25. These numbers signaled a breakout year for the Tata Group company.

CEO Anand Athreya and CFO Sumit Dhingra attributed the strong revenue growth to successful deliveries, large-scale project wins, and sustained customer acquisition in both domestic and international markets.

Poised for Strong Growth in FY26

Tejas Networks expressed strong optimism for FY26, driven by the significantly expanded product portfolio built during FY25. The management emphasized that the company’s enhanced portfolio had substantially increased its addressable market across multiple sectors.

The company introduced a variety of technological advancements, including:

• Support for 5G across multiple spectrum bands.

• Advanced 5G massive MIMO (maMIMO) radios, which enhance mobile network capacity and performance.

• Strategic acquisition of a field-proven 4G/5G core, strengthening Tejas Networks’ end-to-end wireless offering.

• Expansion of the IP/MPLS router family, reinforcing the company’s presence in data and telecom transport networks.

• Next-generation 800G/1.2T DWDM optical systems, catering to the rising demand for high-capacity data transmission.

• XGSPON products in the FTTx (fiber-to-the-x) segment, enabling faster broadband deployments.

Tejas Networks asserted that global market trends remain favorable. Growth projections across all product segments remain strong, driven by booming telecom infrastructure investments worldwide.

Domestically, the company identified several large-scale government projects, new customer wins in both public and private sectors, and application-specific deployments that would contribute significantly to FY26 revenues.

Strategic Global Moves and NEC Partnership

Tejas Networks continues to focus on expanding its global footprint. The company’s strategic partnership with NEC Corporation opened doors to an extensive network of global customers. Under this collaboration, Tejas Networks and NEC will jointly develop and market advanced radio access network (RAN) technologies.

Anand Athreya highlighted the significance of this partnership, stating that joint go-to-market strategies with NEC had already started delivering results with key initial wins in overseas markets.

With an expanded international sales force, broader product suite, and early traction in foreign markets, Tejas Networks now stands well-positioned to scale its global business aggressively in FY26.

Key Milestones Achieved in Q4 FY25

CEO Anand Athreya proudly announced the successful delivery of over 100,000 sites for BSNL’s 4G/5G network, which ranks as one of the largest single-vendor RAN deployments completed in record time.

In addition to the BSNL success, the company secured key wins for its optical networking products, packet transport network (PTN) solutions, and FTTx products in critical verticals such as mobile backhaul, broadband services, and power utilities. These victories strengthened Tejas Networks’ market leadership in high-growth sectors.

The quarter also witnessed the signing of a major technology collaboration agreement with NEC, reinforcing the company’s innovation roadmap and expanding international market access.

Financial Management Insights

CFO Sumit Dhingra provided a candid view of the financial dynamics for Q4 FY25. He noted that although the company achieved strong YoY revenue growth, it posted a net loss of Rs 72 crore in the quarter due to increased investments in research and development (R&D) and one-time charges in certain inventory and R&D expenses.

However, Dhingra reaffirmed that these investments would power future growth and cement Tejas Networks’ competitive edge in global markets. He reiterated that ending FY25 with Rs 8,923 crore revenue and Rs 447 crore net profit marked a significant achievement compared to FY24.

Shareholder Rewards and Market Reaction

Demonstrating commitment to shareholder value, the board of directors recommended a 25% dividend (Rs 2.5 per share), subject to shareholder approval. This move reflected confidence in the company’s future cash flows and growth outlook.

Meanwhile, Tejas Networks’ stock price declined 2.89% to close at Rs 859.85 on Friday, April 25, 2025. Market analysts attributed the decline to short-term concerns around the reported net loss despite strong revenue performance.

However, most experts view the stock’s long-term prospects positively, based on the company’s robust fundamentals, expanded product range, and growing international reach.

Company Profile

Tejas Networks designs, develops, and manufactures high-performance wireline and wireless networking products. The company serves telecom service providers, utilities, governments, and defense networks across more than 75 countries. As a part of the Tata Group, with Panatone Finvest (a Tata Sons subsidiary) as the majority shareholder, Tejas Networks enjoys strong backing, credibility, and global brand leverage.

The company’s relentless focus on innovation, technology leadership, and strategic partnerships continues to drive its growth, making it one of India’s most promising telecom and networking equipment manufacturers.

Conclusion

Tejas Networks showcased remarkable revenue growth and strategic execution in FY25. Although short-term profitability faced pressures due to conscious investments in R&D and future capabilities, the company’s vision, robust financials, and expanding global reach point toward a promising FY26.

With strong tailwinds in both domestic and international markets, groundbreaking product innovations, and high-profile partnerships, Tejas Networks now stands on the cusp of another growth phase. Investors and industry watchers will closely monitor how Tejas Networks leverages these foundations to create sustainable value in the years ahead.