Tejas Networks shares jump 9% on likely boost amid reports of BSNL’s Rs 61,000 crore 5G expansion plan

Tejas Networks shares jump 9% on likely boost amid reports of BSNL’s Rs 61,000 crore 5G expansion plan

Shares of Tejas Networks surged nearly 9 percent on Thursday following reports of Bharat Sanchar Nigam Ltd’s (BSNL) Rs 61,000 crore 5G expansion plan, boosting investor sentiment.

The stock ended 8.73 percent higher at Rs 873.1 on the National Stock Exchange (NSE) after hitting an intraday high of Rs 904, up 12.58 percent. This marks the third consecutive session of gains for the telecom equipment maker, with the scrip rising over 15 percent in this period.

Earlier in the day, shares had opened lower by 2.37 percent but quickly recovered as Economic Times reported that the Department of Telecommunications (DoT) had allocated premium spectrum bands – 700 MHz and 3300 MHz – to BSNL, paving the way for its 5G rollout. The state-run telco is expected to launch services in select cities, beginning with Delhi, before expanding nationwide.

Tejas Networks, a key supplier of 4G/5G RAN equipment and routers, is expected to benefit from the telco’s 5G network expansion.

The company reported a net profit of Rs 165.67 crore for the third quarter of FY25, a sharp turnaround from a net loss of Rs 44.87 crore in the same period last year. However, on a sequential basis, net profit declined 40 per cent from Rs 275.18 crore reported in Q2FY25.

Additionally, Tejas Networks saw a decline in its order book and an increase in inventory levels in the latest quarter.