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Tata Elxsi Ltd

| Audited Financial Results For The Quarter And Year To Date For The Period Ended March 31, 2026

Report Source

21st Apr 26

Summary : Tata Elxsi reports strong FY26 results, recommends ₹75 dividend, with unmodified audit opinion.

Quarterly Report Analysis & Insights

Financial Disclosures

  1. Total expenses (FY26): ₹3,02,060.27 lakhs
  2. Employee benefits expense (FY26): ₹2,18,418.05 lakhs
  3. Cost of materials consumed (FY26): ₹27,576.90 lakhs
  4. Other expenses (FY26): ₹45,062.46 lakhs
  5. Depreciation and amortisation expense (FY26): ₹9,379.97 lakhs
  6. Finance costs (FY26): ₹1,622.89 lakhs
  7. Trade receivables are categorized as Billed and Unbilled.
  8. Total Revenue from operations (FY26): ₹3,75,742.37 lakhs
  9. Software development & services (FY26): ₹3,66,479.87 lakhs
  10. System integration & support services (FY26): ₹9,262.50 lakhs
  11. Net Cash generated from operating activities (FY26): ₹66,398.10 lakhs
  12. Net Cash used in investing activities (FY26): (₹7,252.09) lakhs
  13. Net Cash used in financing activities (FY26): (₹53,478.56) lakhs
  14. Net increase in cash and cash equivalents (FY26): ₹5,667.45 lakhs
  15. Total Assets (March 31, 2026): ₹3,96,254.00 lakhs
  16. Total Equity (March 31, 2026): ₹3,04,134.17 lakhs
  17. Cash and cash equivalents (March 31, 2026): ₹19,452.12 lakhs
  18. Trade receivables (March 31, 2026): ₹107,936.57 lakhs (Billed: ₹88,965.66 lakhs, Unbilled: ₹18,970.91 lakhs)
  19. The company has no Subsidiary, Associate or Joint Venture company(ies), implying standalone results.

Corporate Overview

  1. One-time impact from New Labour Codes on employee benefits.
  2. Software development & services
  3. System integration & support services
  4. Formal and informative, announcing financial results and dividend recommendation.
  5. Software development & services
  6. System integration & support services

Risk Factors

  1. Impact from new Labour Codes.
  2. Future regulatory changes could affect financials.
  3. Increased employee benefits expense.
  4. Q4 profit impacted by exceptional item.

Key Drivers

  1. Strong revenue growth in software services.
  2. Board recommended high dividend of ₹75.
  3. Unmodified audit opinion received.
  4. Positive cash flow from operations.

Auditor’s Report

  1. Unmodified opinion

Board Commentary

  1. Board recommended a dividend of ₹75/- per equity share of ₹10 each for the financial year ended March 31, 2026, subject to shareholder approval.
  2. Financial impact from New Labour Codes on employee benefits.
  3. Exceptional item due to one-time impact of New Labour Codes, effective November 21, 2025, on employee benefits provision.

Corporate Governance

  1. Audit Committee reviewed the financial results.

Management Discussion & Analysis

Critical Risks

  1. Potential future impact of New Labour Codes and related rules.
Tata Elxsi Ltd (TATAELXSI) Quarterly Report Analysis & Insights | Dhanarthi