Tata Elxsi has posted a 5% year-on-year revenue growth, reaching Rs 3,729 crore for FY2025.
Quarterly Results (Q4 FY2025)
In the quarter ending March 2025, the company reported a slight drop in net sales, which declined by 3.28% to Rs 908.34 crore compared to the previous quarter (December 2024). Operating profit margin also fell from 26.26% to 22.86%, leading to a 15.80% drop in operating profit to Rs 207.66 crore.
Other key points from the quarter:
- The cost of purchased finished goods rose from 5.96% to 8.16%.
- Employee costs increased from 54.86% to 56.98%.
- Other expenses reduced slightly, from 12.91% to 11.99%.
- Other income, including interest and investments, grew by 8.08% to Rs 43.07 crore.
Despite these challenges, Tata Elxsi’s profit after tax decreased by 13.36% to Rs 172.42 crore.
Yearly Results (FY2025)
For the full year, Tata Elxsi’s net sales grew by 4.98% to Rs 3,729.05 crore. However, operating profit fell by 7.02%, mainly due to a decline in operating profit margin from 29.46% to 26.09%.
In more detail:
- Employee costs rose from 53.75% to 54.89%.
- Other expenses increased from 11.34% to 12.60%.
- Other income increased sharply by 47.04% to Rs 179.31 crore.
Despite a decrease in overall profits, Tata Elxsi’s cash and bank balance increased, rising to Rs 1,606.39 crore compared to Rs 1,392.47 crore in the previous year. Profit after tax for the year was Rs 784.94 crore, a slight drop of 0.92% from the previous year.
Dividend Announcement
The company’s Board of Directors has recommended a final dividend of 750% (Rs. 75 per equity share) for FY2025, pending approval at the upcoming Annual General Meeting.
CEO’s Comment
Mr. Manoj Raghavan, CEO of Tata Elxsi, commented that the company faced some challenges in the automotive business and media & communications sectors during the quarter. However, the company managed to win large deals, including a multi-year deal in automotive and a major deal in media and communications. Tata Elxsi continues to focus on growing its business globally, with strong customer relationships and a robust pipeline of future projects.
Despite uncertainties in the market, Tata Elxsi remains optimistic about its growth, thanks to its large deal wins and focus on innovation and product engineering. The company is prepared for the new financial year with solid foundations for growth and stability.
