Tata group stock jumps 6% after receiving ₹85 Cr under the PLI scheme

Synopsis: The shares of this telecom equipment company were in focus today following the receipt of Rs 85 crore from the Ministry of Communications, Department of Telecommunications, New Delhi, under the PLI scheme. 

This company, which designs and manufactures wireline and wireless networking products, with a focus on technology, innovation, and R&D, had its shares in focus as, under the PLI scheme, the company received its first tranche of payment. 

With the market cap of Rs 9,070 crore, the shares of Tejas Networks Ltd jumped 6% and reached a high at Rs 522.95 , compared to its previous day’s closing price of Rs 494.10. The shares have given a return of 309% over the last 5 years. 

How the PLI Scheme Fuels Tejas Networks’ Expansion

The Production Linked Incentive (PLI) Scheme is India’s way of encouraging homegrown manufacturing in telecom and networking products. It rewards companies for producing more in India, adding more value locally, and reducing dependence on imports. As part of this scheme, Tejas Networks has received Rs 84.95 crore from the Ministry of Communications, which is the first tranche and is about 85% of the incentive it earned for Q4 FY24–25.

For Tejas, this payout is a strong endorsement of its performance. It shows that the company met the government’s targets for production and value addition, proving its capability as a serious Indian telecom manufacturer. The remaining amount will be released once the final checks under the PLI guidelines are completed.

Beyond the money, the scheme gives Tejas more confidence and room to grow. The funds strengthen its cash flows and help support investments in R&D, manufacturing capacity, and innovation, all of which are crucial as India rapidly expands 5G, fiber networks, and digital infrastructure. The PLI scheme doesn’t just reward Tejas; it helps the company gear up for the next phase of India’s telecom growth.

Financials and others. 

The revenue from operations is at Rs 262 crore in Q2 FY26 versus Rs 2,811 crore in Q2 FY25, which is a fall of about 91 percent YoY. Similarly, the net profit has fallen when we compare the Q2 FY25 profit of Rs 275 crore with the Q2 FY26 loss of Rs 307 crore. 

Tejas Networks is a homegrown telecom equipment maker that has steadily grown into a global player. It builds everything from 4G/5G radios and broadband gear to optical transport, switching, and satellite IoT solutions, and its products now power 500-plus networks across 75-plus countries. The company combines strong engineering depth—over 65% of its workforce is in R&D—with the backing of the Tata Group, giving it both credibility and scale.

What really defines Tejas is its role in large, complex network rollouts. From supplying equipment for BSNL’s nationwide 4G/5G network to supporting BharatNet and major optical backbones, the company has built a strong track record in India and abroad. With India pushing for trusted, locally made telecom gear and the world looking for reliable alternatives, Tejas is well-positioned to benefit from upcoming 5G expansion, fiber growth, and AI-driven network upgrades.

Written by Leon Mendonca. 

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