Tata Elxsi, the design and digital tech arm of the Tata Group, witnessed an 8% crash in its stock price, hitting a 9-week low of ₹5,660 apiece during early trade on Friday, July 11, after the company’s June quarter results missed analyst estimates.
The company reported revenue of ₹892.1 crore for the quarter ended Thursday, marking a decline of 1.8% quarter-on-quarter and 3.7% year-on-year. The decline was primarily driven by macroeconomic uncertainties and slower decision-making cycles in key markets, which impacted overall demand, especially in the media and healthcare segments.
EBITDA came in at ₹186.7 crore in Q1FY26, translating to a margin of 20.9%, down 10.1% from the previous quarter, which was largely driven by softer revenues, currency volatility, and higher onsite salary expenses.
Net profit stood at ₹144.4 crore, reflecting a sequential decline of 16.3% and a YoY drop of 22%, led by elevated operating costs, including transition-related investments for new deals secured in Q4FY25. Earnings per share (EPS) for the quarter was ₹23.18, down 16.3% sequentially and 21.6% year-on-year.
