Tata Communications Reports 6.6% YoY Revenue Growth in Q1, Data Services Drive Performance
Tata Communications announced its Q1 FY24 results. Consolidated revenues increased 6.6% YoY to ₹5,960.00 crore. Data revenue grew 9.4% YoY to ₹5,130.00 crore. EBITDA margin improved to 19.1%, up 30 basis points. Profit after tax (PAT) stood at ₹232.00 crore, down 34.9% YoY. The company reported stable performance despite macroeconomic challenges, with data services being the key growth driver. Multiple million-dollar deals were added to the order book during the quarter.

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Tata Communications , a leading global communications technology company, has announced its financial results for the first quarter ended June 30.
Key Highlights
- Consolidated revenues increased 6.6% year-over-year to ₹5,960.00 crore
- Data revenue grew 9.4% YoY to ₹5,130.00 crore, driven by the company's digital fabric offerings
- EBITDA margin improved to 19.1%, up 30 basis points
- Profit after tax (PAT) stood at ₹232.00 crore, down 34.9% YoY
Financial Performance
Tata Communications delivered a stable performance in Q1 despite ongoing macroeconomic headwinds. The company's data services segment continued to be the key growth driver, with revenues rising 9.4% compared to the same period last year.
Particulars (₹ Crore) | Q1 Current | Q1 Previous | YoY Change |
---|---|---|---|
Gross Revenue | 5,960.00 | 5,592.00 | 6.6% |
Data Revenue | 5,130.00 | 4,688.00 | 9.4% |
EBITDA | 1,137.00 | 1,137.00 | 0.0% |
EBITDA Margin | 19.1% | 20.3% | -120 bps |
PAT | 232.00 | 357.00 | -34.9% |
PAT Margin | 3.9% | 6.4% | -250 bps |
While EBITDA remained flat at ₹1,137.00 crore, the EBITDA margin saw a slight improvement to 19.1%. However, profit after tax declined 34.9% year-over-year to ₹232.00 crore.
Management Commentary
A.S. Lakshminarayanan, MD and CEO of Tata Communications, commented on the results: "Despite ongoing macroeconomic headwinds and continued pressures across the industry, we delivered a stable performance this quarter — with a healthy double-digit growth in our order book and modest uptick in margins. Our digital fabric is becoming deeply embedded in our enterprise customers' operations — simplifying complex infrastructure and delivering exactly what they need, on their terms."
Kabir Ahmed Shakir, Chief Financial Officer, added: "Our digital fabric continues to deliver, and we are pleased to report an all-round performance across our portfolio. We added multiple million dollar deals this quarter to our order book. We are encouraged by the losses narrowing in our digital portfolio."
Business Highlights
The company highlighted several achievements during the quarter:
- Unveiled a new cable system to enhance next-generation global connectivity
- Recognized as a leader for the 12th consecutive year in the Gartner Magic Quadrant
- Received multiple awards for its digital fabric solutions, including recognition for its SafePass® 3.0 solution as the Industrial IoT Product of the Year
Tata Communications continues to focus on expanding its digital portfolio and strengthening its position in global markets. The company's emphasis on its digital fabric offerings appears to be paying off, as evidenced by the strong growth in data services revenue.
As Tata Communications navigates the challenging macroeconomic environment, it remains committed to delivering innovative solutions and driving digital transformation for its enterprise customers worldwide.
Historical Stock Returns for Tata Communications
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
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+1.86% | +3.04% | +3.77% | +1.96% | -5.70% | +151.20% |