Tejas Networks bags Rs 336 cr deal from BSNL for BharatNet prog

Domestic telecom gear maker Tejas Networks today said it has won a Rs 336-crore order from state-run BSNL for expansion of BharatNet project.

"... received a new purchase order of Rs 336 crore from BSNL for expansion of BharatNet, the world's largest rural broadband project," Tejas Networks said in a statement.

BSNL has allocated the purchase order for the second phase of BharatNet project under 1.5 lakh gram panchayats are to be connected with optical fibre based high speed broadband network.

"This order reinforces the confidence that BSNL and BBNL have in our capabilities to successfully execute large national projects of strategic importance," Tejas Networks Managing Director and CEO Sanjay Nayak said.

Tejas was also given contract in phase 1 of the BharatNet project.

The company, however, expects a decline in revenue during the 2018 fiscal mainly due to delays in receiving certain large orders, Nayak said. The company had earlier expected a revenue growth of around 5 per cent.

"However, we continue to see strong growth potential for our business over the next few years, especially from our customers in India, driven by the exponential growth in data traffic and robust capex investments on broadband infrastructure," Tejas said.

He said that given healthy order pipeline and strong business momentum, Tejas is set for strong revenue and profitability growth for the coming fiscal year.

Tejas Networks had reported around 18 per cent decline its consolidated revenue at Rs 236.67 crore for the quarter ended December 31, 2017. The profit after tax of the company , however, jumped close to 3-fold to Rs 30.14 crore in the third quarter of 2017-18 from Rs 11.66 crore a year ago.