The Tata Group satellite communication firm reported a consolidated net profit of Rs 1.09 crore, marking a turnaround from a net loss of Rs 4.04 crore in the same quarter last year. The improved bottom line was supported by steady operational growth, with revenue from operations rising 17.27% year-on-year to Rs 79.18 crore, compared to Rs 67.52 crore in the March 2025 quarter.
Despite the strong quarterly rebound, the full-year picture remained under pressure. For FY26, Nelco’s net profit fell 65% to Rs 3.32 crore, down from Rs 9.53 crore in FY25. However, annual revenue inched up marginally to Rs 306.60 crore, versus Rs 304.87 crore in the previous fiscal.
From a technical standpoint, momentum indicators suggest a mildly bullish bias. The stock’s RSI (14) stands at 63.2, indicating it is neither overbought nor oversold. Nelco is currently trading above 7 of its 8 key simple moving averages (SMAs), though it continues to hover below its long-term 200-day SMA, signalling room for further trend confirmation.
On the ownership front, foreign portfolio investors (FPIs) slightly increased their stake to 4.73% in the March 2026 quarter, up from 4.61% in the previous quarter, while promoter holding remained steady at 50.09%.
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Institutional investor confidence in the company strengthened during the March 2026 quarter, with their shareholding rising from 5.02% to 5.24%, indicating a modest increase in exposure.
The stock’s sharp rally reflects renewed investor confidence, driven by an earnings recovery and improving operational performance, even as longer-term profitability remains a watchpoint.
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