Shares of telecom equipment manufacturer Tejas Networks witnessed a sharp sell-off on Monday, January 12, 2026, plummeting over 7% to touch a fresh 52-week low. This steep decline came as a direct reaction to the company's disappointing financial results for the third quarter of the fiscal year 2025-26.
Quarterly Performance: From Profit to Significant Loss
The Tata Group-backed company reported a consolidated net loss of ₹196.55 crore for Q3 FY26. This marks a dramatic reversal from the same period last year when Tejas Networks had posted a healthy profit of ₹165.67 crore. The primary driver behind this massive swing into the red was a severe contraction in sales.
Consolidated revenue from operations collapsed by a staggering 88% year-on-year (YoY), falling to ₹306.79 crore for the October-December quarter from approximately ₹2,642 crore in Q3 FY25. A key factor cited for this revenue shortfall was the deferment of a purchase order from the state-owned telecom giant BSNL.
Stock Market Reaction and Silver Lining
On the Bombay Stock Exchange (BSE), Tejas Networks' stock price nosedived as much as 7.81% to hit a new 52-week low of ₹384.15 per share. By 9:30 AM IST, the scrip was still trading deep in the red, down 6.65% at ₹389.00.
Despite the bleak quarterly numbers, there was a minor positive note in the sequential performance. The Q3 FY26 loss of ₹196.55 crore was notably narrower than the substantial loss of ₹307 crore reported in the preceding quarter (Q2 FY26). This indicates some moderation in the negative trend, though it was insufficient to prevent a market panic.
Broader Implications and Investor Sentiment
The severe market punishment reflects deep investor concern over the company's near-term revenue visibility and dependence on large government contracts. The deferment by BSNL underscores the volatility and project-based nature of the domestic telecom infrastructure business. As a key player in India's push for indigenous telecom technology, Tejas Networks' performance is closely watched as a barometer for the sector's health. The stock's plunge to a yearly low suggests that investors are bracing for continued challenges and are seeking clearer signs of a sustainable recovery in order books and execution.
