Frog Innovations Posts Net Loss as Revenue Falls in FY26

Frog Innovations Limited (Erstwhile Frog Cellsat Limited) has released its audited financial results for the fourth quarter and full year ended March 31, 2026. The company reported a Revenue from Operations of Rs 1,060.7 Million for the full year, a significant decline from Rs 2,193.9 Million in the previous fiscal year. For the second half of FY26, revenue stood at Rs 511.4 Million compared to Rs 1,396.3 Million in the same period last year. The Board of Directors approved the results during a meeting held on May 21, 2026.

Financial Performance

The company recorded a Net Loss (PAT) of Rs 11.7 Million for FY26, a sharp reversal from the Net Profit of Rs 235.5 Million reported in FY25. The half-yearly performance also reflected this downturn, with a loss of Rs 5.5 Million in H2 FY26 against a profit of Rs 182.4 Million in H2 FY25. EBITDA for the full year turned negative at Rs (15.8) Million, down from a positive Rs 352.7 Million in the prior year. The company attributed the moderation in business momentum to lower telecom operator capex spending and delays in commissioning certain DAS infrastructure projects.

Consolidated Financial Highlights

The following table summarizes the financial performance for the half-year and full-year periods:

Particulars (Rs. Million)	H2FY26	H2FY25	FY26	FY25
Revenue from Operations	511.4	1,396.3	1,060.7	2,193.9
EBITDA	(21.3)	288.2	(15.8)	352.7
PAT	(5.5)	182.4	(11.7)	235.5

Business Verticals and Growth

Despite the financial challenges, FY26 marked a strategic transition year characterized by expansion into new verticals. The company successfully commenced Electronics Manufacturing Services (EMS) operations with customer onboarding and deliveries initiated, expected to emerge as a significant growth vertical from FY27 onwards. Frog Innovations also developed and launched an AI-driven surveillance analytics platform, AI EYE, with commercial marketing initiatives underway.

Strategic Developments

Frog Innovations added one of India’s leading telecom operators as a new customer, commencing business for RF repeaters. It successfully commissioned major Distributed Antenna System (DAS) deployments at Navi Mumbai International Airport and Noida International Airport. The company was also appointed by TRAI as a Digital Connectivity Rating Agency (DCRA), entering a new scalable service revenue vertical. As of March 31, 2026, the executable order book stood at Rs 360 Million.

Management Commentary

Mr. Konark Trivedi, Founder & Managing Director, described FY26 as a transformative year focused on capability building. He noted that while the year faced industry-level challenges, the company reinforced its core business and positioned itself for future growth through scaling EMS operations and increasing traction in new technology-led verticals. The company expects FY27 to witness improved operational performance and stronger business momentum.

Frog Innovations Limited has disclosed the execution of an inter-corporate loan agreement with Frog Tele Private Limited, its wholly owned subsidiary, pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The agreement was executed on 12th May 2026 and was intimated to the National Stock Exchange of India Limited on the same date by Rajat Sharma, Deputy Company Secretary and Compliance Officer.

Loan Agreement Details

The disclosure, filed in continuation of an earlier intimation dated 27th April 2026, pertains to an additional amount required towards the balance payment of a One-Time Lease Rental. The amount represents the differential net payable on account of TDS and GST applicable on the lease rental, as per the challan received from the Noida Authority. The key parameters of the loan agreement are summarised below:

Parameter:	Details
Lender:	Frog Innovations Limited
Borrower:	Frog Tele Private Limited
Nature of Loan:	Inter-Corporate Loan
Loan Amount:	₹10,00,000 (Rupees Ten Lacs Only)
Date of Execution:	12th May 2026
Tenure:	20 years
Interest Rate:	8.80% per annum (subject to revision in line with changes in the bank's base rate)
Security:	None

Related Party Transaction and Shareholding

Frog Innovations Limited holds 100% of the shares of Frog Tele Private Limited, making the latter a wholly owned subsidiary. Consequently, the transaction qualifies as a related party transaction. The company has confirmed that the said transaction has been conducted at arm's length. The promoters, promoter group, and group companies have no other interest in the transaction beyond what has been disclosed.

Key Terms of the Agreement

The loan agreement does not contain provisions relating to the following:

Right to appoint directors
First right to share subscription in case of issuance of shares
Right to restrict any change in capital structure

No shares have been issued in connection with this agreement, and no security has been provided by the borrower against the loan. The company has also confirmed that no other disclosures, including details of nominees on the board or potential conflicts of interest, are applicable in this instance.

Regulatory Compliance

The disclosure has been made in accordance with Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, and in line with SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The intimation was signed and submitted by Rajat Sharma, Deputy Company Secretary and Compliance Officer (M. No. A70274), on behalf of Frog Innovations Limited (erstwhile Frog Cellsat Limited).