Tata Elxsi Ltd Share Price – NSE  / BSE

IT - Software, Small Cap

JSW Motors and Tata Elxsi, a global design and technology services company, today forged an alliance to establish the JNEXT - JSW NextGen Technology Center in Pune. The center will serve as a strategic engineering hub to support the development of next-generation software-defined, AI-powered mobility solutions, aligned with the industry's shift towards connected and electrified vehicles.

A Memorandum of Understanding (MoU) was signed between the two partners today to formalise the strategic partnership. The JNEXT Center will enable close collaboration with JSW Motors' R&D, manufacturing, and leadership teams. Tata Elxsi will lead the implementation of the Connected Vehicle Platform and unified customer experience app for JSW Motors' upcoming vehicle programs, owning the platform end-to-end, from conceptualisation and integration to production and aftersales support, in partnership with a broader ecosystem.

The collaboration aligns with JSW Motors' vision of building a technology-led, new-energy mobility ecosystem in India, supporting indigenisation and localisation across the vehicle value chain. This strategic partnership will bring capabilities across digital and data-driven solutions such as user experience design, cloud platforms, over-the-air (OTA) frameworks, and digital twins. It will also enable intelligent solutions, spanning location based services, cybersecurity, AI/ML analytics, 5G enabled technology, and immersive technologies like AR/VR/XR to enhance customer experience across the ownership lifecycle.

Revenue from operations increased 9.4% to Rs 993.75 crore in the quarter ended 31 March 2026, compared with Rs 908.34 crore recorded in the corresponding quarter last year.

Profit before tax (PBT) stood at Rs 267.77 crore, up 20.92% year-on-year during the quarter.

On a quarter-on-quarter basis, net profit jumped 102.36% to Rs 220.35 crore from Rs 108.89 crore, largely due to the absence of exceptional items, while revenue from operations increased 4.22% from Rs 953.47 crore.

Sequential growth was supported by controlled expenses. Total expenses increased moderately to Rs 776.6 crore from Rs 757.6 crore in Q3 FY26. In the previous quarter, the company had recorded an exceptional charge of Rs 95.7 crore related to employee benefit provisions arising from new labour codes, which had significantly impacted profitability. With no such charge in Q4, margins improved, supporting net profit.

EBITDA stood at Rs 244.6 crore in the quarter ended 31 March 2026 (up 17.77% YoY and 10.08% QoQ). EBITDA margin improved to 24.6% in Q4 FY26 from 22.9% in Q4 FY25 and 23.3% in Q3 FY26.

The company's total headcount in Q4 of FY26 stood at 11,540. The attrition rate stood at 15.8% in Q4 FY26 as compared to 13.3% in Q4 FY25.

Manoj Raghavan, CEO and managing director (MD) of Tata Elxsi, said, ?For the fourth quarter of FY '26, Tata Elxsi reported operating revenue of Rs. 993.8 crores and PBT margin at 25.6%. We ended FY '26 with a revenue of Rs. 3,757.4 crores and a PBT margin of 23.4%. The company registered a healthy QoQ growth of 4.2%.

Our Media & Communications business, which accounted for 32.7% of revenue during the quarter, registered a strong growth of 5.6% QoQ in constant currency terms over the previous quarter. This growth was led by continued deal ramp-ups, a strategic deal for AdTech, and a Tier 1 US telco win. In the quarter, we also won a multi-year large deal from a world-leading device OEM for its portfolio of video and broadband products. This strategic deal reinforces Tata Elxsi?s position as a global leader in device engineering for media and telecom.

In our transportation business, while our revenues in Q4 FY26 consolidated after a strong 7.3% constant currency QoQ in Q3 FY26, we are delighted with two strategic wins?one in the APAC region from a new-age OEM and another from the US from a next-generation mobility services company. These multi-year deals underscore the pivot towards SDV and OEM business, with OEM business now representing 77% of overall revenues for our transportation business.

During FY?26, Tata Elxsi accelerated its enterprise-wide GenAI adoption, marked by the launch of DevStudio.ai and partnerships with leading AI companies, to embed AI responsibly across engineering, design, and delivery. With strong governance around data security, IP protection, and compliance, these initiatives are scaling beyond pilots to deliver measurable productivity gains, faster time-to-market, and improved customer outcomes. By combining domain-led AI, talent enablement, and platform-based accelerators, Tata Elxsi is strengthening its innovation quotient, long-term competitiveness, depth of client engagements, and margin expansion.

I am pleased with our sustained and strong operational performance through segment-leading offshore delivery, a continued transition to fixed-bid project ownership, and the systematic and enterprise-wide adoption of AI-enabled efficiencies. These levers strengthened execution discipline and productivity, driving consistent margin improvement through the year.

We closed the financial year with a consistent performance, reflecting improved execution, disciplined cost management, and continued confidence from our global customers. Growth traction across our core verticals, supported by increasing large deal wins, strong customer additions, and sustained investments in AI-led platforms and digital engineering, positions us well for the year and beyond. As we enter the next financial year, we remain focused on scaling our differentiated design-led and AI-enabled offerings, strengthening operational leverage, and driving sustainable growth and healthy margins.?

Meanwhile, the company?s board has recommended a final dividend of Rs 75 per equity share of face value Rs 10 each for the financial year ended 31 March 2026.

Tata Elxsi is amongst the world?s leading providers of design and technology services across industries, including Automotive, Broadcast, Communications, Healthcare, and Transportation.

Shares of Tata Elxsi fell 3.98% to Rs 4,465 on the BSE.

Tata Elxsi has allotted 381 equity shares under ESOP on 21 April 2026. With this allotment, the paid up equity share capital has increased to Rs. 62,29,70,640/- divided into 6,22,97,064 equity shares of Rs. 10 each.

Tata Elxsi announced that the Board of Directors of the Company at its meeting held on 21 April 2026, inter alia, have recommended the final dividend of Rs 75 per equity Share (i.e. 750%) , subject to the approval of the shareholders.