N Ganapathy Subramaniam
Non-Executive Chairman & Non-Independent Director
Dear Shareholders,
It gives me immense pleasure to write to you at the end of a
breakthrough year for your company. Besides recording revenues of ' 2,471 crore with a
year-on-year growth of 168%, your company was awarded two large wireless and wireline
equipment contracts in our history.
Your company collaborated with Tata Consultancy Services Limited (T CS)
and Centre for Development of Telematics (C-DOT) in the design, development and roll-out
of an indigenous telecom stack. BSNL awarded the mandate to TCS to supply, install and
commission the pan-India 4G/5G mobile network. Tejas is the supplier of 4G/5G baseband and
radio units for this network. Spanning over 100,000 cell sites, this is possibly one of
the most challenging network rollouts in the world due to its scale, technological
complexity, stringent performance standards and aggressive deployment timelines.
I'm proud to note that your company has stepped up and is well on
track to deliver on this project in the coming year. I commend the team for rising up to
the challenge and for their outstanding allround execution across all operational
functions including R&D, supply chain, network services and program management.
In FY24, the company also completed supplies of its state-of-the-art
TJ1400 access and aggregation routers for BSNLs pan-India wireline network for unified
backhaul of its full range of mobile, broadband and enterprise services. Carrier Switching
and Routing is another complex technology area that your company has recently ventured
into that has a large global addressable market. With a countrywide deployment of 13,000+
nodes, this is the largest such network in India that has been built solely using
indigenously designed and manufactured routers.
With an extensive portfolio of world-class products combined with our
proven expertise in building large-scale networks, I believe that your company has the
potential to realize its ambition to be a top-tier global telecom and networking OEM from
India.
The key drivers of our business such as expanding network connectivity,
growing data usage and advancing communications technologies continue to be favorable.
While 5G and FTTx rollouts have been gathering pace globally, these technologies have a
multi-year capex runway both in India and in many parts of the world. The average data
consumption per user is growing exponentially due to the availability of more
sophisticated devices and higher-bandwidth applications such as streaming video, online
gaming and virtual reality simulations. The advent of Generative AI and Spatial Computing
technologies are enabling new applications and driving a second wave of digitalization in
enterprises and consumer-facing industries. This, in turn, is expected to result in a
massive surge in data traffic in networks and data centers globally and will call for
significant network capacity scaling and fresh network buildouts in the next few years.
"With an extensive portfolio of world-class products combined with
our proven expertise inbuilding large-scale networks, I believe that your company has the
potential to realize its ambition to be a top-tier global telecom and networking OEM from
India."
Your company is closely tracking these technology trends and is
extending and advancing its extensive portfolio of wireless, optical and packet products
to make them future-ready. Besides creating a complete range of state-of-the-art baseband
and radio products for 5G networks, we are also introducing advanced hardware and software
capabilities in our wireline products to make them more scalable, flexible and
intelligent. Saankhya Labs is bolstering our competencies in adjacent technology areas
such as satellite communications, broadcast and fabless semiconductor designs. We believe
that with these new products and feature additions, we are well-positioned to win new
customers and gain market share in existing accounts.
Since becoming part of the Tata group, the company has been expanding
its international presence and seeking to elevate its global branding through targeted
physical and digital marketing campaigns. Thanks to these efforts, your company won
several reputed international awards this year for its innovative products and solutions,
notably the NetworkX award in Paris for global leadership in "PON-based Smart City
Services" and the prestigious "Public Company of the Year" award from Light
Reading (USA). As one of thefastest growing economies in the world with a large home
market, success in India serves as a strong reference in many parts of the world. Your
company's value proposition is further amplified when coupled with the inherent
strength of the Tata brand.
On behalf of the Board of Directors of Tejas Networks, I thank the
respective Governments, nodal agencies of India, the Government of Karnataka, and all
Government agencies, Governments of various countries where we have business operations.
We are grateful to all our customers, employees, shareholders, suppliers, and bankers, for
their consistent and tireless support even in the most challenging times. The Board also
places on record its deep gratitude and appreciation to Chandrashekhar Bhave and Sanjay
Nayak who retired and Amur Lakshminarayanan who resigned from the Board of Directors this
year. The company immensely benefited from their rich experience and invaluable guidance
over the years.
We look forward to the future with tremendous optimism and confidence
as we strive to build India's global telecom and networking company that we can all
be proud of in the years to come.
Warm regards,
N Ganapathy Subramaniam
Chairman