Mumbai, INDIA , October 17, 2024
Tata Communications, announced its financial results for the second quarter of FY25.
Highlights | Q2 FY2025
- Data revenue jumped by 21% YoY, coming in at INR 4,834 crore
- Digital Portfolio revenue grew by 52.4% YoY, accounting for 46% of data revenue
- Consolidated EBITDA rose by 10% YoY
Commenting on the results, A.S. Lakshminarayanan, MD and CEO, Tata Communications, said: “We are pleased to report a strong year-on-year growth in revenue and EBITDA. Our order book has expanded with some key strategic wins across markets. The adoption of our Digital Fabric (Network, Cloud and Security, Interaction and IoT) by enterprises continues to drive our optimism about future growth.”
Kabir Ahmed Shakir, Chief Financial Officer, Tata Communications, said: “The fundamentals of the business continue to be strong. We are executing multiple strategic measures, including land monetisation, which will help us create capacity for future opportunities and reposition our assets to capture medium to long term profitable growth.”
Consolidated financial highlights
Q2 FY25
| Particulars (INR Crore) | Quarter Ended – Q2 FY24 | Quarter Ended – Q2 FY25 | YoY Growth |
| Gross Revenue | 4,872 | 5,767 | 18.4% |
| Data Revenue | 3,995 | 4,834 | 21.0% |
| EBITDA | 1,015 | 1,117 | 10.0% |
| EBITDA Margin | 20.8% | 19.4% | (140 bps) |
| PAT | 221 | 227 | 3.0% |
| PAT Margin | 4.5% | 3.9% | (60 bps) |
In The News This Quarter
- Tata Communications Joins Forces with Palo Alto Networks to Enhance Enterprise Cyber Resilience
- Data networks for F1 broadcasts just the start for Tata’s digital ambitions
In an exclusive interview with The Straits Times, Singapore, A.S. Lakshminarayan discusses Tata Communications’ remote broadcast capabilities with F1, its strategic acquisitions (The Switch and Kaleyra), the company’s focus on AI, cloud, and edge computing, and how Singapore remains a key growth market for the region. - Breaking free from slow growth mode
In an interview with CFO Brew in the US, Kabir Ahmed Shakir discusses the company’s journey from struggling with low growth and profitability to achieving success through a strategic shift and ambitious expansion plans. - Better Customer Interactions: New Insights From HBR Study
Tata Communications’ VP of Customer Interactions Suite, Mauro Carobene, shares insights from a new CX survey with Forbes US and discusses the importance of employee experience and AI in driving effective customer engagement.
Major Awards & Recognitions This Fiscal
Digital Fabric Analysts Recognitions
- Positioned as a Leader in the ISG Network – Software Defined Solutions and Services 2024
- Named Leader in the IDC MarketScape: Worldwide Media Consultation, Integration, and Business Operations Cloud Service Providers 2024 Vendor Assessment
- Awarded the Future Digital Awards Gold Winner for Best CCaaS Solution by Juniper Research
- Named a Leader in the Avasant Network Managed Services 2023-2024 RadarView™
- Adjudged Platinum Winner at Future Digital Awards 2024 for Private Cellular Network Innovation in Smart Cities & IoT by Juniper Research for the second consecutive year
- Positioned as a Leader in Private/Hybrid Cloud – Data Centre Services 2024 ISG Provider Lens- Managed Hosting, APAC
- Presented with the Best UCaaS Provider Multi-National award by UC Today
Other recognitions
- Honoured with the prestigious JRD Quality Value (JRDQV) Award
- Won two Brandon Hall Group Awards for HCM Excellence 2024 in the Learning & Development category and one Brandon Hall Award for Excellence 2024 in the Diversity, Equity and Inclusion category
- Recognised among the Top 100 ‘India’s Best Companies to Work For 2024’ by the Great Place to Work® Institute for the seventh time
- Ranked 20th among BW’s Top 50 Most Sustainable Companies in India for 2024
- Won the Times Now Sustainable Organisation 2024 Award by ET Edge for the third consecutive year
An investor data pack providing detailed analysis of the results for the quarter ended 30th September 2024 has been uploaded on the Tata Communications website and can be accessed here.
Ends…
Mansi Somvanshi
Tata Communications
+91 98198 18462
mansi.tiwari@tatacommunications.com
Rajiv Sharma
Tata Communications
+91 98201 36641
rajiv.sharma@tatacommunications.com
About Tata Communications
A part of the Tata Group, Tata Communications (NSE: TATACOMM; BSE: 500483) is a global digital ecosystem enabler powering today’s fast-growing digital economy in more than 190 countries and territories. Leading with trust, it enables digital transformation of enterprises globally with collaboration and connected solutions, core and next gen connectivity, cloud hosting and security solutions and media services. 300 of the Fortune 500 companies are its customers and the company connects businesses to 80% of the world’s cloud giants. For more information, please visit www.tatacommunications.com
Certain words and statements in this release concerning Tata Communications and its prospects, and other statements, including those relating to Tata Communications’ expected financial position, business strategy, the future development of Tata Communications’ operations, and the general economy in India, are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, including financial, regulatory and environmental, as well as those relating to industry growth and trend projections, which may cause actual results, performance or achievements of Tata Communications, or industry results, to differ materially from those expressed or implied by such forward-looking statements. The important factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements include, among others, failure to increase the volume of traffic on Tata Communications’ network; failure to develop new products and services that meet customer demands and generate acceptable margins; failure to successfully complete commercial testing of new technology and information systems to support new products and services, including voice transmission services; failure to stabilize or reduce the rate of price compression on certain of the company’s communications services; failure to integrate strategic acquisitions and changes in government policies or regulations of India and, in particular, changes relating to the administration of Tata Communications’ industry; and, in general, the economic, business and credit conditions in India. Additional factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements, many of which are not in Tata Communications’ control, include, but are not limited to, those risk factors discussed in Tata Communications Limited’s Annual Reports.
The Annual Reports of Tata Communications Limited are available at www.tatacommunications.com. Tata Communications is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements.
TATA COMMUNICATIONS and TATA are trademarks or registered trademarks of Tata Sons Private Limited in India and certain countries.
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