Image Source : CNBC TV18
Tata Elxsi reported its Q1 FY26 results with revenue from operations at Rs 8.92 billion, slightly below the IBES estimate of Rs 9 billion. Net profit stood at Rs 1.44 billion, also trailing the expected Rs 1.6 billion.
Key Highlights
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The transportation vertical remained the company’s growth engine, contributing nearly 44% of Embedded Product Design (EPD) revenue and expanding its share among European OEMs.
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Media & communication and healthcare segments showed signs of recovery, with stronger momentum expected in H2 FY26.
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Operating margins held steady within the 28–29% band, despite ongoing investments in capacity expansion and digital platforms.
Strategic Outlook
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Tata Elxsi continues to focus on nextgen softwaredefined vehicle (SDV) development and EV platforms, supported by large contracts and Centers of Excellence.
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Analysts expect a 17% EPS CAGR over FY23–26, down from the previous 40% CAGR, citing valuation concerns despite strong fundamentals.
Sources: HDFC Securities, Economic Times, Tata Elxsi Investor Relations, Moneycontrol
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