Target: ₹1,600
CMP: ₹1,170.50
Techno Electric & Engineering Company reported revenue of ₹8,434 million for the quarter ended June 2025, marking an 91.1 per cent year-on-year increase from ₹441.40 crore in the same quarter last year, and there was a growth of 60.4 per cent rise on a sequential basis (Results are not comparable on q-o-q basis due to nature of the business). On H1 FY26 basis, they reported a revenue of ₹13,694 million a growth of 67.7 per cent y-o-y.
In the data centres segment, Phase 1 of the Chennai facility was launched in August 2025 with initial customers being onboarded. The Gurgaon data centre, the first under the RailTel EDC contract, is now commercially operational. Work has also begun on RailTel’s 16 MW Noida data centre, following a revenue-share model like their Edge data centre.
They have several bids underway and expect to secure additional orders of about ₹1,500 crore this financial year, including new data centre and Edge data centre projects. This would take total order intake for the year to around ₹3,000 crore, providing sufficient visibility to maintain growth momentum. The company has delivered nearly 4x revenue growth over the past three years with only a modest increase in manpower.
The company continues to work closely with strong execution partners such as Adani, Sterlite and Power Grid, where timely project delivery is essential. We maintain a Buy rating on the stock with a target price of ₹1,600.
Published on November 21, 2025
