Tejas Networks Receives First Tranche Of Rs 122.96 Crore Under PLI Scheme From DoT

Bengaluru, June 5, 2025: Tata Group backed Tejas Networks Limited (NSE: TEJASNET, BSE: 540595), a leading telecom equipment manufacturer, announced that it has received ₹122.96 crore from the Department of Telecommunications under the Government of India’s Production Linked Incentive (PLI) Scheme for Telecom and Networking Products.

This sum represents the first tranche, accounting for 85% of the eligible incentive for Q3 FY2024–25, with the remaining disbursal expected in due course as per the PLI Scheme Guidelines. This follows the prior announcement by the company in March, when it received ₹189.16 crore from the Ministry of Communications, Department of Telecommunications, under the PLI scheme as the first tranche for the first two quarters of FY2024- 25.

Why Is The Incentive Important?

The PLI scheme is a government-incentive-based scheme aimed at strengthening India’s domestic telecom manufacturing capabilities and reducing dependence on imports. Tejas Networks has consistently demonstrated compliance and strong performance as a leader in the telecom sector, making it a key beneficiary of the incentive. The compliance and strong performance have made it eligible for the ₹122.96 PLI incentive for the third quarter.

The shares of Tejas Networks closed slightly higher at ₹706.90, up 0.38% on June 4th. With a P/E ratio of 28 and a Return on Equity of +11.60, it remains to be seen how investors will react to the news and how it will impact its share price on the June 5th market session.

About Tejas Networks

Tejas Networks is an Indian company that designs and manufactures high-performance wireline and wireless networking products for telecom service providers, utilities, defence, and government sectors across India and international markets. It is part of the Tata Group and is headquartered in Bengaluru.

What’s Ahead For The Company?

The timely receipt of the PLI incentive is a welcome factor for the company, as it will help strengthen Tejas Networks’ liquidity and support ongoing R&D and manufacturing efforts, particularly in optical and 5G product lines. The company believes that such incentives will be realised in the coming quarters, supporting its overall cash flow and expansion plans.

REF:https://nsearchives.nseindia.com/corporate/TEJASNET_04062025234727_Intimation.pdf

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