Tata Communications Q1 Results: Revenue grows 18%; CEO remains bullish about market opportunities
Tata Communications consolidated net profit -- attributable to equity holders of the parent firm -- came in at Rs 332.84 crore in the April-June period.
Tata Communications net profit down 13 pc to Rs 333 cr in Q1 New Delhi, Jul 18 (PTI) Tata Communications on Thursday posted a 12.8 per cent decline in June quarter net profit due to a drop in earnings from voice solutions and data services.
Consolidated net profit -- attributable to equity holders of the parent firm -- came in at Rs 332.84 crore in the April-June period, compared with Rs 381.69 crore in the year-ago period, the company said in a stock exchange filing.
While the revenue from data services was up, the pre-tax earnings dropped 22.7 per cent year-on-year to Rs 291.09 crore in the June quarter -- the first of the current fiscal year, the filing showed.
The company in a statement later said its revenue from data services rose 20 per cent to Rs 4,694 crore during the period under review.
Revenue from operations for Q1 came in at Rs 5,633.3 crore, an ascent of 18.1 per cent from Rs 4,771.3 crore in Q1, FY24.
"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," Tata Communications Chief Financial Officer Kabir Ahmed Shakir said.
"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," Tata Communications MD and CEO, A S Lakshminarayanan, said.
According to the regulatory filing, the company is in process of moving Tata Communications (UK) Ltd, a step-down wholly owned subsidiary, directly under the ownership of the company.
The company has 14,038 total employees, as per its annual report released in June.
Shares of Tata Communications settled at Rs 1,871.95 apiece on the BSE on Thursday, up 1.14 per cent from its previous close.
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