Tata Elxsi reported a 45 percent year-on-year drop in consolidated net profit to ₹108.9 crore for Q3 FY26, down from ₹199 crore in the same period last year.
The decline was largely due to a one-time exceptional charge of ₹95.7 crore following India’s new labour codes, which increased employee benefit provisions. Despite this, the company’s revenue rose slightly by 1.5 percent to ₹953.5 crore, driven mainly by its transportation business segment.
Following the results, Tata Elxsi’s shares fell more than 3 percent. Analysts have noted the cautious outlook while keeping an eye on future growth prospects and cost management.