Thursday, August 3, 2017
Tejas Networks Net Profit Up 20.09 Cr from Loss of 1.75 Cr Year-On-Year
Tejas Networks has reported its financial results for the first quarter ending June 30, 2017.
Tejas Networks designs, develops, manufactures and sells high-performance and cost-competitive optical and data networking products, which are used to build high-speed communication networks over optical fiber.
The consolidated revenues for the quarter grew by 49.0% year-on-year led by strong growth in domestic business. Our operating margins grew by 251.6% year-on-year. Our operating margin was 12.8% in Q1’18 compared to 5.4% in Q1’17. Our net profit after tax in Q1’18 was 9.2% as compared to net loss of 1.2% in Q1’17.
Sanjay Nayak, CEO and MD of Tejas Networks said, “with exponential increase in data traffic in mobile as well as fixed-line broadband networks, we are witnessing a strong demand for our optical transmission equipment. During the quarter, we saw strong revenue growth especially from our Indian customers”.
During the quarter we completed our Initial Public Offer (IPO) of shares, raising Rs. 450 crore by issuance of 1,75,09,727 shares to retail and institutional shareholders. The primary object of the issue is to fund our R&D, increased working capital needs and general corporate purposes.
As of June 30, 2017, our cash and cash equivalents amounted to Rs.304.83 crore. Our debt as on that date was Rs 15.22 crore.
Venkatesh Gadiyar, CFO said, “our strong balance sheet provides us a perfect platform to seize any growth opportunity in the market place. We continue to invest heavily in R&D and sales. During the quarter we also saw significant expansion in operating and net profits of the company".
During Q1’18, Tejas supplied a large portion of GPON products for Government of India’s flagship Bharatnet project for providing broadband to villages. Arnob Roy, President, Optical Products said, “we are pleased to partner with the Indian government to execute the prestigious BharatNet project using our leading-edge GPON product.”