Exicom Tele-Systems Limited Q3 FY26 Earnings Call Summary

Exicom delivered a stable Q3 FY26, highlighted by a 58% YoY increase in standalone revenue to ₹234 crores, primarily fueled by a recovery in telecom Capex an...

Summary

Exicom Tele-Systems Limited - Q3 FY26 Earnings Call Summary Friday, February 13, 2026 4:30 P.M. IST

Event Participants

Executives 2 Anant Nahata (MD & CEO), Shiraz Khanna (CFO)

Analysts 3 Prathamesh Bhamre (VJ), Rahul Dani (Monarch Networth Capital), Samraat Jadhav (Prosperity Wealth Advisor)

Financials & KPIs

Metric Reported Commentary
Revenue (Standalone) ₹234 crores +58% YoY, +2% QoQ; driven by strong execution in Critical Power segment.
Revenue (Consolidated) ₹276.7 crores +41% YoY; remains largely flat QoQ due to ongoing stabilization at Tritium.
EBITDA (Standalone) ₹16.2 crores Marginal QoQ increase; impacted by exceptional item related to new labor code.
PAT (Standalone) ₹3.5 crores Impacted by higher finance costs associated with loans for the Tritium acquisition.
Gross Margin (Standalone) 22.5% Flat YoY; dipped QoQ due to higher revenue mix of lower-margin batteries.
Consolidated 9M Revenue ₹764 crores +27% YoY; EVSE business grew 65% while Critical Power grew 8.5% in the same period.
Critical Power Order Book ₹1,435 crores Strong pipeline for domestic market with 24-30 month execution timeline.

Geographic & Segment Commentary

  • Critical Power: Recorded ₹164 crores in Q3, a nearly 100% YoY jump driven by BharatNet supplies and renewed Capex from major Telcos. Management expects this to become a ₹1,000 crore business in FY27 as Telcos plan to upgrade or build 120,000 tower sites.
  • EV Charging (India): Grew 32% YTD with standalone revenue reaching ₹190 crores for the 9-month period. Segment focus is shifting toward “Exicom One” end-to-end site solutions and expanding into electric truck charging and 2-wheeler OEM partnerships.
  • Tritium (Global): Entered “growth phase” post-stabilization with Q4 FY26 revenue estimated at $10 million (2.4x Q3 levels). Revenue split includes 11% from USA, 20% from Europe/UK, and 10% from Australia/NZ, with the first Tritium charger recently installed in India.

Company-Specific & Strategic Commentary

  • Exicom One: Launched an integrated service model covering site planning, civil/electrical works, and software monitoring, yielding higher revenue per site than hardware alone.
  • Tritium Turnaround: Secured a $30 million order from a Fortune 50 US customer and an additional $15 million backlog; management targets EBITDA breakeven by Q4 FY27.
  • Manufacturing Expansion: The new Hyderabad plant is now fully operational for battery manufacturing, with Critical Power and EV charger production ramping up to reach full capacity by March 2026.
  • Capital Allocation: Exhausted the ₹400 crore IPO proceeds and rights issue funds primarily on the Hyderabad facility and R&D; secured $10 million equity for Tritium from a UK PE firm.

Guidance & Outlook

Metric Guidance / Outlook Commentary
Critical Power Revenue ~30% Growth in FY27 Based on Telco/TowerCo Capex estimates of 120,000 new/upgraded sites.
Export Mix (Critical Power) 20% of Sales in FY27 Up from current 10%; target markets include Africa (TowerCos) and SE Asia.
Tritium Revenue 3x scale-up in FY27 Required trajectory to achieve the targeted EBITDA breakeven by Q4 FY27.
Tritium Profitability EBITDA Breakeven Q4 FY27 Driven by TRI-FLEX product launch and restoration of customer confidence in service.

Risks & Constraints

Risk Context
Product Mix & Margins Higher sales of battery segments (lower margin) vs. power conversion modules (higher margin) can lead to gross margin compression.
Execution Lag High-power chargers like TRI-FLEX require months of site planning, which may lead to lumpy revenue recognition despite a strong backlog.
Tritium Cash Burn While EBITDA losses are expected to halve in Q4 FY26, the subsidiary continues to weigh on consolidated PAT due to high global operating costs.

Q&A Highlights

Order Book Execution

  • Question: What proportion of the ₹1,435 crore order book is executable in FY27 and what are the margin trends? (Samraat Jadhav)
  • Answer: Most orders are executable over the next 24 months. Management expects a 30% jump in Critical Power revenue for FY27 based on this backlog and current investment cycles (Anant Nahata).

Tritium Funding & Dilution

  • Question: Does the $10 million UK PE infusion imply equity dilution at the listed entity level? (Samraat Jadhav)
  • Answer: No, the dilution is only at the Tritium holding company level (Netherlands), not at Exicom Tele-Systems Limited (Anant Nahata).

TRI-FLEX Strategy

  • Question: When will TRI-FLEX contribute meaningful revenues and what is the ramp-up timeline? (Samraat Jadhav)
  • Answer: Production begins March 2026. While planning sites for these ₹3-crore chargers takes months, the $15 million backlog and a 3x revenue target for Tritium in FY27 support the growth trajectory (Anant Nahata).

Business Model Clarity

  • Question: Is there a plan to enter the Charge Point Operator (CPO) business? (Prathamesh Bhamre)
  • Answer: No. CPO business is Capex-heavy and annuity-based; Exicom will remain a technology and product company to avoid competing with its own customers (Anant Nahata).

Key Takeaway

Exicom delivered a stable Q3 FY26, highlighted by a 58% YoY increase in standalone revenue to ₹234 crores, primarily fueled by a recovery in telecom Capex and BharatNet project execution. While consolidated profitability remains pressured by the Tritium acquisition, management signaled the end of Tritium’s stabilization phase, forecasting a $10 million revenue quarter in Q4 FY26 and a path to EBITDA breakeven by Q4 FY27. Strategically, the company is transitioning from a hardware provider to a solution provider via “Exicom One” and expanding its global footprint with new US certifications for home chargers. With a robust ₹1,435 crore domestic order book and the Hyderabad plant nearing full utilization, Exicom is positioned to capitalize on the 120,000-tower upgrade cycle in India and the high-power DC charger market globally. The company remains focused on narrowing consolidated losses through a projected 3x scale-up in Tritium’s annual revenue.

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