Tejas Networks Q1 net profit more than doubles to Rs 45 cr

Domestic telecom gear maker Tejas Networks reported over two-fold jump in consolidated net profit at Rs 45 crore for the quarter ended on June 30, 2018.

The company had posted a net profit of Rs 20.44 crore in the same period a year.

"Consumers growth happening in broadband and they have been using more amount of data that is underpinning growth for us. India had larger portion of our revenue this quarter. India market has been under-penetrated in terms of fibre infrastructure and it is catching up with global standards. Domestic market is driving lots of growth," Tejas Networks Managing Director and CEO, Sanjay Nayak told PTI.

The company reported 9.6 per cent increase in total revenue at Rs 245.48 crore in the reported quarter from Rs 223.81 crore in the same period a year ago.

A major portion of the revenue came from government funded projects followed by scaling up of networks by private telecom operators, Nayak said.

The company gained seven new telecom customers overseas during the quarter.

"Around 80 per cent of our revenue came from India market and rest from overseas. By the end of this fiscal we expect domestic market to contribute around 70 per cent and international business to make 30 per cent contribution," Nayak said.

During the quarter, Tejas was granted two patents resulting in a cumulative grant of 78 patents, Nayak said.

The company has filed for 342 patents which include technology for 5G services.

Shares of Tejas Networks closed at Rs 273, up by 7.18 per cent compared to the previous close on BSE.