Tejas Networks has reported its financial results for the fourth quarter (Q4) ended March 31, 2022. For Q4 FY’22, consolidated net revenue stood at Rs 1.26 billion, witnessing a year-on-year (Y-o-Y) decrease of 37.2 per cent, resulting in a loss before tax of Rs 959 million as compared to a profit of Rs 185 million, for corresponding previous period. Meanwhile, loss after tax was Rs 496 million as compared to profit of Rs 336 million for corresponding previous period.
For FY’2021-22, net revenue stood at Rs 5.50 billion, registering a Y-o-Y increase of 6.9 per cent, resulting in a loss after tax of Rs 627 million, as compared to a profit of Rs 375 million for corresponding previous period.
Commenting on the financial results, Sanjay Nayak, managing director and CEO, Tejas Networks, said, “We are disappointed that our Q4 revenues were below our expectations. This was due to the ongoing global chip supply shortages and despite our best efforts, we could not manufacture enough products to fulfil open orders. However, we continue to see a positive business momentum with strong Q4 order inflow of Rs 3.16 billion, increasing our total order book to an all-time high of Rs 11.75 billion. We have already taken advance inventory actions for securing components for our planned revenues for next 12 months and we believe that we will be able to effectively address the challenges of the ongoing semiconductor component shortages. We are also pleased that our 4G radio access network (RAN) equipment, as a part of the indigenous 4G solution, has successfully passed the proof-of-concept field tests in the network of a large Indian telecom operator.”
Meanwhile, Venkatesh Gadiyar, CFO, Tejas Networks, said, “During Q4, we saw margin pressure due to increase in component prices and lower international revenues. Our cash position continues to be healthy and as on March 31, 2022 our cash and cash equivalents, including investment in liquid mutual funds and deposits with financial institutions, were Rs 11.02 billion and we continue to be a debt-free company”.