Tata Communications Ltd share Price Today

Tata Communications (TCOM) is the leading global digital ecosystem enabler.

• It provides its clientele with state-of-the-art solutions across a wide range of communication, collaboration, cloud, mobility, connected solutions, network and data centre services

TCOM reported a weak quarter on the margins front.

•  Topline came in at ₹ 4569 crore, up 7.2% YoY & up 0.9% QoQ, driven by data revenues (forming ~80% of revenues), which was up ~11.2% YoY (up 2.2% QoQ) at ₹ 3670 crore. Incubation services and Digital Platforms segment of data business grew ~65% and 16% YoY, respectively. Voice revenues were down 13.9% YoY (down 8.6% QoQ) at ₹ 462 crore
• Consolidated EBITDA at ₹ 1034 crore, was down 1.1% YoY and down 4% QoQ. The consequent margin was at 22.6% (down 190 bps YoY and down 115 bps QoQ) owing to lower data EBITDA margin, which was at 24%, down 240 bps QoQ. We highlight that it is the lowest margin in the last 12 quarters despite revenue growth picking up

Telecom Services company Tata Communications announced Q1FY25 results:

• Data revenue jumped by 20% YoY, coming in at Rs 4,694 crore
• Digital Portfolio revenue grew by 51.5% YoY, accounting for 45.7% of data revenue
• Consolidated EBITDA rose by 9.8% YoY and margins expanded to 20%

Commenting on the results, AS Lakshminarayanan, MD and CEO, Tata Communications, said: “We are pleased to announce a strong and positive start to FY25, with our quarterly performance indicators showing promising results. We remain bullish about the market opportunities, and with our expanded product capabilities and increasing customer relevance, we are confident in our ability to achieve our medium-term growth objectives.”

Kabir Ahmed Shakir, Chief Financial Officer, Tata Communications, said: "Our financial prudence, anchored in our 'Fit to Grow' framework, has yielded profitable growth and delivered margin expansion this quarter. As our products continue to gain traction and scale, we anticipate operating leverage, positioning us to achieve our margin aspirations in the medium term."

Result PDF