Armoured brigades, air force helicopters, an artillery group and an engineer brigade took part in the exercise, codenamed Conquerors of Khaybar, according to the agency.
No information on the duration of the drills and the exact quantity of equipment involved was given.
Earlier this week, Tasnim cited Commander of Army Ground Force, Brigadier General Kiumars Heidari, that the exercise is designed to boost the combat preparedness of the Iranian armed forces in the area.
At the same time, Azerbaijani President Ilham Aliyev expressed concern over Tehran's drills near the border as a surprise event, noting that Iran has never conducted drills in the area before.
Iran, for its part, said that Azerbaijan should not follow Israel's stance towards Tehran, as it could "threaten its existence".