Tata Communications logs 30% y-o-y decline in Q1FY24 net profit

20 Jul 2023 , 09:49 AM

Tata Communications reported a 29.8% drop in consolidated net profit in the June quarter, to Rs 382 crore, due to higher borrowing costs and fewer foreign gains. 

The company said that its combined revenue increased 10.7% year-on-year to Rs 4,711 crore.

Revenue from the data business was Rs 3,912 crore, a 17.1% rise over the same period last year. EBITDA from the data business stood at Rs 929 crore in the first quarter of the current fiscal, down 4.2% year on year, owing mostly to ‘inorganic costs coming in this quarter,’ the company said in its filing with the exchanges.

‘We had a significant first quarter in FY24, delivering very robust revenue growth in data business and digital portfolio, closing The Switch deal, and announcing the Kaleyra acquisition,’ commented A S Lakshminarayanan, Tata Communications’ MD and CEO.

He also stated that the company is on track of its plan execution and that portfolio strengthening will boost the relevance quotient with enterprise customers.

At around 9.47 AM, Tata Communications was trading 0.44% higher at Rs 1,625.45 per share, against the previous close of Rs 1,618.40 on NSE. 

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