Tata Elxsi shares soar 9% after Q4 results; Board recommends final dividend of ₹75; check revenue, PAT and CEO statement

The company said that its revenue in rupee terms came in at ₹908.3 crore, up 0.3% YoY, but down 3.3% QoQ. In constant currency terms, the company's revenue saw a decline of 2.9% YoY and 5.3% QoQ.

Tata Elxsi provides engineering and solutions to various industries, including automotive, media & communications, and healthcare.

Its total income came in at ₹951.4 crore, down 2.8% QoQ and rose 1.3% YoY.

The company further said that its EBITDA, or earnings before interest, taxes, depreciation, and amortisation, declined 15.8% QoQ to ₹207.7 crore. On a YoY basis, the figure dropped 20.5%.

EBIT came in at ₹183.0 crore, down 17.1% QoQ and 21.7% YoY.

Profit After Tax (PAT) slipped 13.4% QoQ and 12.4% YoY.

EBITDA margin came in at 22.9% against 26.3% in the December quarter and 28.8% in the corresponding quarter of the previous fiscal year.

Basic earnings per share (EPS) came in at ₹27.68, much lower than ₹31.95 in Q3 FY25 and ₹31.62 in the year-ago period.

Segment Highlights

• The company said that its transportation vertical revenue declined by 9.7% QoQ in CC terms, impacted by project pauses with some customers for the quarter;

• Media and Communications revenue declined by 6.3% QoQ in CC terms amidst continued industry softness and cautious technology spend;

• Healthcare grew by 3.5% QoQ in CC terms with new customer wins and traction from digital and Gen AI-powered offerings.

Management statement

Manoj Raghavan, CEO and MD, Tata Elxsi, said, "Tata Elxsi reported the fourth quarter revenues at Rs. 908.3 crores and PBT margin at 23.3%. We ended FY’25 with operating revenue of Rs. 3,729 crores and a PBT margin of 26.3%. We reported a healthy QoQ growth of 3.5% in constant currency terms in Q4 25 for our Healthcare & Life Sciences segment."

The CEO added that the company's automotive business witnessed challenges in the quarter as some OEMs and suppliers paused new programme starts in the face of geopolitical and market uncertainties. "We won a few large deals, including a €50 million multiyear SDV and software engineering deal with a European automotive leader, that will ramp up in Q1 26 and beyond," Raghavan said.

In a business environment that continues to be uncertain and volatile, Tata Elxsi are winning large deals against the best in the world in both the automotive and media & communications verticals, which underscores the differentiated value proposition, offshore delivery excellence and deep domain capabilities that Tata Elxsi offers to our customers.

"We enter the new financial year with the foundation for stability and growth laid by the large deal wins, the continued confidence of our customers across the world, a strong deal pipeline and our differentiated design-led proposition for innovation and product engineering," the CEO said further.

Solid dividend payout

The company said the Board of Directors has recommended a dividend of ₹75 per equity share of ₹ 10 each for the financial year 2024-25, subject to tax, which shall be paid on or after the seventh day from the conclusion of the 36th annual general meeting, subject to the approval of the shareholders of the company.