COMPANIES

No Data Found

NEWS

No Data Found
Advertisement
Tata Communication Q1 results: Consolidated net profit records 12.8% decline at Rs 333 crore, revenue up 18%

Tata Communication Q1 results: Consolidated net profit records 12.8% decline at Rs 333 crore, revenue up 18%

The company reported its tenth straight rise in quarterly revenue backed by the growth in its digital portfolio segment. The Tata Group-owned company’s revenue rose by 18 percent on a year-on-year (YoY) basis to Rs 5,633 crore. 

Business Today Desk
Business Today Desk
  • Updated Jul 18, 2024 5:17 PM IST
Tata Communication Q1 results: Consolidated net profit records 12.8% decline at Rs 333 crore, revenue up 18%The company’s consolidated EBITDA rose by 9.8 percent YoY to Rs 1,124 crore and margins expanded to 20 percent. 

Tata Communications on July 18 reported a 12.8 percent decline in its consolidated net profit at Rs 333 crore for the April-June quarter of FY25 compared to Rs 382 crore in the corresponding period of FY24. 

However, the company reported its tenth straight rise in quarterly revenue backed by the growth in its digital portfolio segment. The Tata Group-owned company’s revenue rose by 18 percent on a year-on-year (YoY) basis to Rs 5,633 crore. 

Advertisement

Revenue from its data services business, which contributes more than 80 percent to the total, climbed 20 percent, on the back of a 52 percent growth in its digital portfolio. 

The data business revenue stood at Rs 4,694 crore, an increase of 20 percent over the same period the previous year. 

The digital portfolio revenue grew by 51.5 percent YoY, accounting for 45.7 percent of data revenue. The company’s consolidated EBITDA rose by 9.8 percent YoY to Rs 1,124 crore and margins expanded to 20 percent. 

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.” 

Advertisement

Tata Communications said that its board approved the proposal to raise funds by issuing Non-Convertible Debentures (‘NCDs’) on a private placement basis up to Rs 2,000 crores. 

The board also approved the proposal to invest in its step-down wholly-owned subsidiary, Tata Communications (UK) Limited (TC UK). The proposed investment is intended to simplify the existing group structure of the company and its subsidiaries by moving TC UK under direct ownership without any change in its ultimate ownership and beneficial economic interest in TC UK, the company said in a disclosure to the exchanges. 

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
Published on: Jul 18, 2024 5:17 PM IST
    Post a comment