Tejas Networks Q4 FY25 Results: Loss Sours Amid Revenue Gain

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Tejas Networks Q4 FY25 Results: Strong Revenue Growth, Net Loss Shocks Experts

By S Jha

Mumbai, April 26, 2025: Tejas Networks, a leading telecom equipment manufacturer, released its Q4 FY25 financial results on Saturday. The Tata-owned enterprise gave robust revenue growth but a surprising net loss that has stirred varied sentiments among experts.

The company reported a 44 per cent year-on-year (YoY) revenue surge to ₹1,907 crore, up from ₹1,327 crore in Q4 FY24, driven by strong execution of BSNL’s 4G/5G network deliveries.

However, a consolidated net loss of ₹72 crore, compared to a ₹147 crore profit in the same quarter last year, soured the sentiments of investors.

According to a post by @REDBOXINDIA on X, Tejas Networks’ Q4 revenue reached ₹19 billion, with EBITDA at ₹1.3 billion, though the EBITDA margin contracted sharply to 6.89 per cent from 23.55 per cent YoY.

The company also recommended a final dividend of ₹2.5 per share, signaling confidence in its long-term growth despite the quarterly setback.

@REDBOXINDIA highlighted the net loss of ₹620 million, a stark contrast to the ₹1.5 billion profit in Q4 FY24. Experts on X offered deeper insights into the results.

@MrTalkStock noted that Tejas Networks remains a “turnaround story with impressive growth”, emphasizing its shift from losses to a trailing 12-month profit of ₹665 crore.

The user attributed the Q4 loss to one-time charges in inventory and R&D expenses. On increased R&D investments, CFO Sumit Dhingra confirmed as critical for long-term value creation.

@AdeptMarket, while acknowledging the loss, called the results “good” on a YoY basis, highlighting massive growth in revenue and EBITDA. The user also pointed out that Tejas, trading at a forward P/E of 29, appears undervalued for a telecom equipment manufacturer with strong fundamentals.

The company’s order book stood at ₹1,019 crore at the end of Q4 FY25, reflecting a cautious outlook compared to ₹8,221 crore in Q4 FY24. CEO Anand Athreya emphasized the milestone of delivering over 100,000 sites for BSNL’s 4G/5G network, calling it one of the largest single-vendor RAN networks completed in record time.

For the full year, Tejas reported a stellar 261 per cent YoY revenue increase to ₹8,923 crore and a net profit of ₹447 crore, up from ₹63 crore in FY24.

Despite the quarterly loss, some analysts remain optimistic.

@AdeptMarket, in a January post, had flagged Tejas’ strong H2 FY25 guidance, driven by BSNL site ramp-ups and new orders. However, the sequential dip in profitability and a reduced order book tempered enthusiasm, with shares declining 3.2 per cent to ₹857.35 on Friday.

Tejas Networks’ Q4 FY25 results reflect a complex narrative of robust topline growth overshadowed by margin pressures and one-time costs. While experts on X praise the company’s long-term potential, the immediate challenges have sparked cautious optimism among investors.