Tejas Networks shares slip 11% as Q1 loss, revenue slump spook investors

Tejas Networks' shares have been on a tough run, falling 45 percent since the start of the year.

Shares of Tejas Networks dropped as much as 11 percent to Rs 627 on July 15 before trimming losses to trade over 5 percent lower, after the company reported a sharp loss for the June quarter. The sell-off was triggered by weak earnings, with the company slipping to a consolidated net loss of Rs 193.9 crore in Q1 FY26, compared to a net profit of Rs 77.5 crore in the same period last year. The disappointing performance, driven by a steep decline in revenue and operational metrics, weighed on investor sentiment.

Revenue plunged 87 percent year-on-year to Rs 211 crore, down from Rs 1,563 crore in Q1 FY25, largely due to delayed purchase orders and shipment clearances, especially related to the BSNL 4G rollout.

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On a sequential basis, revenue was down 89 percent. The company also reported an EBITDA loss of Rs 126.6 crore, with margins crashing to -60 percent from 10.9 percent a year earlier.

“The revenue shortfall was primarily due to delays in order receipts, including from BSNL,” said COO Arnob Roy, adding that Tejas secured orders for routers under BharatNet Phase 3 and optical equipment from private operators in India.

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CFO Sumit Dhingra said the bottom line was impacted by lower topline performance but noted that the order book stood at Rs 1,241 crore—up 22 percent quarter-on-quarter. He added that a Rs 1,526 crore RAN equipment order linked to BSNL’s expansion is expected soon.

At about 9:45 am, shares of the company were trading at Rs 660, lower by 5.5 percent from the last close on the NSE. Tejas Networks' shares have been on a tough run, falling 45 percent since the start of the year.

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