Tejas Networks reports dismal Q2 outcome

Tejas Networks reported a consolidated net loss of Rs 307.13 crore in Q2 FY26, a sharp decline from the net profit of Rs 275.18 crore posted in the samse quarter last year.

The companys total revenue from operations plunged 90.68% to Rs 261.82 crore in Q2 FY26, down from Rs 2,811.26 crore recorded in the corresponding quarter of the previous year.

Pre-tax loss for the quarter stood at Rs 472.99 crore in Q2 FY26, compared to a profit before tax of Rs 410.51 crore in Q2 FY25.

Cash and cash equivalents were at Rs 417 crore in Q2 FY26, down 23.48% quarter-on-quarter from Rs 545 crore in Q1 FY25.

On a half-year basis, the company reported a consolidated net loss of Rs 501 crore in H1 FY26, against a net profit of Rs 352.66 crore posted in H1 FY25. Total revenue from operations fell 89.39% YoY to Rs 463.80 crore in H1 FY26.

Sumit Dhingra, CFO of Tejas Networks, said, "In Q2 FY26 we had a revenue of Rs 262 crore, a QoQ growth of 30%. We ended the quarter with an order book of Rs 1,204 crore. We had a net loss of Rs 307 crore, largely due to lower revenue and provisions due to manufacturing process losses, warranty and inventory obsolescence (approximately 190 crore)."

Mr. Arnob Roy, COO of Tejas Networks said, "In Q2 FY26, a key highlight was the successful inauguration of the BSNL 4G network by the Hon'ble PM, across 97,000+ sites built with our 4G RAN product. We became the 5th nation in the world to develop fully indigenous 4G/5G stack.

During the quarter we continued to invest in expanding our product portfolio and sales engagements. Our 64T64R massive MIMO radio was launched by Hon'ble MOC at Indian Mobile Congress. We also launched our state-of-the-art 1.2Tbps DWDM transmission system. Successfully completed our first private SG RAN deployment under BSNL's CNPN (Captive Non-Public Network) program and 4G/5G RAN POC in a mobile operator's network in South Asia. We had increasing traction for our 400G DWDM products with new wins in India, Europe and Africa. We expanded our Wireless International customer engagements through partnerships with NEC and Rakuten."

Tejas Networks designs and manufactures wireline and wireless networking products, with a focus on technology, innovation, and R&D. TNL carrier-class products are used by telecom service providers, utilities, governments, and defense networks in 75+ countries. Tejas Networks is a part of the Tata Group, with Panatone Finvest (a subsidiary of Tata Sons) being the majority shareholder.

The counter shed 0.14% to settle at Rs 590.10 on Friday.

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