Takyon Networks Reports Improved Q1 FY26 Performance with Stronger Margins and Reduced Debt

Takyon Networks Limited, a provider of IT infrastructure solutions, has released its Q1 FY26 earnings presentation, showcasing improved financial performance and operational efficiency. The company reported enhanced EBITDA and PAT margins, along with a reduction in borrowings, signaling a positive start to the fiscal year.

Key Highlights

Metric	Performance
EBITDA and PAT Margins	Improved
Borrowings	Reduced by over ₹5.00 crores
Total Order Book	₹56.25 crores
Fresh Orders	₹9.50 crores

Financial Performance

The company's Q1 FY26 results demonstrate a focus on operational efficiency, which has led to improved EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) and PAT (Profit After Tax) margins. This improvement suggests that Takyon Networks is effectively managing its costs and enhancing its profitability.

Debt Reduction

In a notable development, Takyon Networks has successfully reduced its borrowings by over ₹5.00 crores. This debt reduction is a positive sign, indicating the company's commitment to strengthening its balance sheet and improving its financial health.

Order Book and Future Outlook

The company maintains a robust order book of ₹56.25 crores, which includes ₹9.50 crores in fresh orders. This healthy order book provides visibility for future revenue and suggests continued demand for Takyon's IT infrastructure solutions.

Management expects a stronger performance in the second half of the fiscal year (H2), which aligns with typical industry trends where IT spending often increases towards the end of the financial year.

Strategic Shift

Takyon Networks is reportedly continuing its strategic shift towards corporate clients. This move could potentially lead to more stable and higher-value contracts, reducing the company's dependence on government sector projects which can be subject to longer payment cycles and bureaucratic processes.

Conclusion

Takyon Networks Limited's Q1 FY26 performance indicates a positive start to the fiscal year, with improvements in key financial metrics and a strong order book. The company's focus on operational efficiency, debt reduction, and strategic client shift positions it well for potential growth in the coming quarters. However, investors should continue to monitor the company's execution of its order book and the success of its shift towards corporate clients in future quarters.

As always, it's advisable for investors to conduct thorough research and consider their risk appetite before making investment decisions.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+4.58%	+1.96%	-18.90%	-29.15%	-29.15%	-29.15%

Takyon Networks Limited has submitted revised standalone and consolidated financial results for the half-year ended September 30, 2025, addressing inadvertent clerical and typographical errors in the previously submitted consolidated profit and loss data to the Bombay Stock Exchange (BSE).

Key Financial Highlights

Standalone revenue: Rs 4,209.29 lakhs
Consolidated revenue: Rs 4,208.29 lakhs
Basic earnings per share: Rs 2.94 (Standalone), Rs 2.95 (Consolidated)

Financial Performance

The company's financial performance for the half-year period shows a steady revenue stream. Here's a breakdown of the key financial metrics:

Particulars	Standalone (Rs in lakhs)	Consolidated (Rs in lakhs)
Revenue	4,209.29	4,208.29
Net Profit	326.48	321.83
EPS (Basic)	2.94	2.95

Revision Details

Takyon Networks Limited clarified that the revision was necessary due to inadvertent clerical and typographical errors in the consolidated profit and loss account data, specifically under the 'Year Ended 31.03.2025' section. The company has rectified these errors in the revised report submitted to the BSE.

Balance Sheet Highlights

As of September 30, 2025, Takyon Networks reported the following key balance sheet items:

Particulars	Amount (Rs in lakhs)
Share Capital	1,432.20
Reserves and Surplus	3,961.54
Short Term Borrowings	623.91
Trade Receivables	4,394.38
Cash and Cash Equivalents	32.78

IPO Fund Utilization

The company provided an update on the utilization of funds raised through its Initial Public Offering (IPO):

Objective	Amount Allocated (Rs in Crores)	Amount Utilized (Rs in Crores)
Working Capital Requirements	10.00	7.60
Repayment of certain borrowings	3.00	1.85
General Corporate Purpose	4.86	3.21
Issue related expenses	2.62	2.62

The company noted that the balance amounts are still with the company and allocated for their respective purposes.

Management Commentary

Manish Kumar Sharma, Managing Director of Takyon Networks Limited, signed off on the financial statements, emphasizing the company's commitment to transparency and accurate reporting.

Auditor's Review

ADV & Associates, the company's statutory auditors, conducted a limited review of the financial results. They stated that nothing has come to their attention that causes them to believe that the financial results do not present a true and fair view in accordance with the applicable accounting standards and other recognized accounting practices and policies.

Investors and stakeholders are advised to consider these revised financial results for a more accurate representation of Takyon Networks Limited's financial position for the half-year ended September 30, 2025.