Shares of Tejas Networks rose 4.7 percent to a new high of Rs 935 in Friday trade after the company received Rs 750 crore for the BSNL project.
At 09:42 AM, the stock made some gains and rose 1.5 percent to RS 907. The counter saw around 30,000 shares traded against the two-week average volume of around 72,000 shares on the BSE. Meanwhile, the S&P BSE Sensex was up 0.3 percent at 66,471.
The stock has witnessed a great rally so far in 2023 and is up 61.8 percent against a 9.3 percent rally in the Sensex.
According to reports, the company has received a mobilization advance of Rs 750 crore from Tata Consultancy Services for supply of radio access network equipment for BSNL’s pan-India 4G/5G network.
Earlier in May 2023, a TCS-led consortium bagged a mega order worth Rs 15,000 crore for 4G deployment from BSNL.
The consortium includes Tejas Networks, Center for Development of Telematics (C-DOT) and public sector ITIs of the central government. According to reports, around 75 percent of the deal value was for TCS.
Tejas Networks is a part of the Tata Group, with Panatone Finvest (a subsidiary of Tata Sons) as the majority shareholder. The company designs and manufactures high-performance wireline and wireless networking products for telecommunications service providers, Internet service providers, utility, defense and government organizations in more than 75 countries.
Meanwhile, for the quarter ended June 2023, Tejas Networks reported a net loss of Rs 1.47 crore. In the same quarter a year ago, the company had posted a net profit of Rs 0.54 crore. Total income, however, rose 33 percent year-on-year to Rs 16.71 crore from Rs 12.56 crore.
