Tejas Networks Ltd. · NSE:TEJASNET

Tejas Networks — Q3 FY2020 Earnings Presentation

14 slides from Tejas Networks's earnings presentation, 2020

  1. Slide 1: Tejas Networks Ltd Earnings Call Presentation Q3FY20

    TEJAS NETWORKS LTD EARNINGS CALL PRESENTATION Q3FY20 © Tejas Networks Limited 2020. All rights reserved.

  2. Slide 2: Safe Harbor Statement

    Safe Harbor Statement Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward-looking statements due to risks or uncert

  3. Slide 3: Q3FY20: Key Updates

    Q3FY20: Key Updates • Financial Update • Net Revenues ₹85.4 cr • PBT: (₹14.8) cr, PAT: (₹112.1) cr; revenue shortfall and deferred tax reversal resulted in loss • Net cash position improved by ₹6 cr to ₹296 cr • Started collecting old overdue amounts from BSNL for Bharatnet (received ~ ₹41 Cr in Q3,

  4. Slide 4: India-Pvt + International contributed to 84% of total

    Revenue By Segments BSNL/BBNL Critical Infrastructure 7% 9% Critical BSNL/BBNL Infrastructure 36% 19% India-Pvt + International contributed to 84% of total (YoY growth of 10% for 9M) Focus is to increase run-rate International expected to show strong growth during Q4 and business will be a larger pr

  5. Slide 5: Financial Update

    Financial Update Amount in ₹ crore except EPS Q3-FY20 9M-FY20 LTM FY19 Revenues (Net)1 85.4 (YoY -51.5%) 327.1 (YoY -46.5%) 593.0 (YoY -16.4%) 876.7 EBIT -20.3 (YoY -200.6%) -25.5 (YoY -126.8%) 9.8 (YoY -89.6%) 130.3 PBT -14.8 (YoY -159.3%) -12.0 (YoY -110.7%) 25.0 (YoY -79.2%) 150.0 PAT2 -112.1 (Yo

  6. Slide 6: Key Financial Indicators

    Key Financial Indicators • Working capital decreased by ₹11 Cr, on account of higher Amount in ₹crore Particulars Q2-FY20 Q3-FY20 collections during the quarter. We further expect to reduce our working capital levels by Q4. Cash flow from Operations 96 28 • DSO reduced to 268 days from 277 days (as

  7. Slide 7: International Update

    International Update • Africa, Middle East: Expect strong YoY growth • Increasing focus and investments by splitting the region • Hired strong local Sales Leader based in Johannesburg for South, West and East Africa • Mid-east and North Africa made into a separate region with independent leadership

  8. Slide 8: India Update

    India Update • Government Accounts • Marginal business from BSNL/Bharatnet (central) during the current FY • Critical infrastructure business: winning new orders but revenues getting pushed out • We continue to win new business from Railways, Metros, Smart cities, Power and Oil & Gas. • Orders from

  9. Slide 9: Our Medium-term Strategy

    Our Medium-term Strategy Increase international sales in Africa, S. East Asia and America, 1 to reach 50% of overall revenues Leverage incumbency in India and increase depth in India- 2 private accounts with new application wins. Selectively work on high-quality Government business, leveraging Make-

  10. Slide 10: Macro Drivers of our Business Remain Robust

    Macro Drivers of our Business Remain Robust FIXED BROADBAND 4G, 5G & IOT CLOUD, DATA CENTER Growth in residential Network densification and Demand for massively broadband on optical fiber fiberization are driving scalable DWDM networks (FTTX) and broadband growth in Metro Networks with multi-terabit

  11. Slide 11: Tejas Products: Addressing High-Growth Segments

    Tejas Products: Addressing High-Growth Segments Terabits Multi-terabit Disaggregated PTN/OTN Products CORE NMS, SDN CONTROLLER TJ1600S TJ1600I TJ1600S Compact and Scalable Metro WDM/OTN Products TJ1600-2 Nx100G/200G/400G/600G METRO TJ1600-6 TJ1600-11 TejNMS Ultra-converged Access/Edge Products GPON

  12. Slide 12: Focus on High-growth Geographies

    Our Growth Strategy Focus on • Accelerated investments in 4G/5G and broadband in emerging markets High-growth • Increased sales investments in specific Geographies geographies to gain market share Growth • Achieve breadth and depth in optical Technology networking and broadband access Levers Differe

  13. Slide 13: Key Takeaways

    Key Takeaways • Due to sharp decline in our India business, we expect significant decline in our overall revenues on YoY basis during FY20 and we may not be profitable • Unprecedented turbulence and financial stress in the Indian telecom sector has impacted us adversely • India Government business (

  14. Slide 14: Thank you!

    Thank you! Contact Us: ir@tejasnetworks.com Contact - +91(80)41794600 Tejas Networks Limited 2020. All rights reserved.

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