Mumbai (BSE), November 09, 2016
Mumbai (BSE) – November 8, 2016
Tata Communications today announced its financial results for the half year and quarter ended on September 30th 2016.
Highlights | Q2 FY2017
• Consolidated revenue and EBIDTA for the quarter grew on the back of strong growth in data business contributed by traditional and growth services
• Core business (consolidated excluding Neotel) registered a sequential 1.3% growth in revenue QoQ and 10.7% in EBITDA YoY. The growth continues to be driven by the global data business which recorded a 12.7% growth in revenue YoY and a healthy 26.8% growth in EBITDA
*Q2 consolidated PAT at INR 40 crores. INR 125 crores was an impairment on investment in Neotel.
Highlights | H1 FY2017
Commenting on the results, Vinod Kumar, MD and CEO, Tata Communications, said,
“Tata Communications continues to contribute to the digital transformation journey of global businesses. The Q2 enterprise revenue has grown by over 24% on a YoY basis and as we continue to increase the momentum of our data product portfolio, we are well positioned to grow and perform going forward.”
Commenting on the results, Pratibha K. Advani, CFO, Tata Communications, said,
“Our data business has grown sequentially over the last six quarters and contributes to 85% of core EBITDA. With continued focus on driving operational efficiencies, we have generated healthy free cash flows of INR 794 crore for core business in H1, recording a growth of 67% over same period last year. We are focused on strengthening our balance sheet and setting the stage for healthier return ratios.”
Awards highlights | H1 FY2017
• Tata Communications won the ‘Asia CFO Excellence Award’ under the category of ‘Investment Management’. Awarded by CMO Asia, Tata Communications has been recognised for its investment strategy based on the philosophy of foremost priority accorded to the safety of invested corpus followed by liquidity
Business highlights | Q2 FY2017
• Tata Communications appoints James Parker as global head of sales – Tata Communications announces the appointment of James Parker as President of Global Sales. James is responsible for leading the company’s global sales organisation across all customer segments
• Virtual trackside experience app clinches the $50,000 top trophy of the 2016 F1® Connectivity Innovation Prize – Tata Communications, Official Connectivity Provider to Formula 1® and the Official Managed Connectivity Supplier of the MERCEDES AMG PETRONAS Formula One™ Team, has today unveiled Datu YogaBrata from Singapore as the winner of the 2016 F1® Connectivity Innovation Prize in Austin, Texas
• Logic, Emotions, Processes and Improvisation collide in Asian business leadership – A study by The Human Capital Leadership Institute (HCLI), Singapore’s national centre of excellence, in partnership with Tata Communications, reveals interesting nuances of Asian leadership on the back of in-depth conversation with 165 C-level executives across nine countries in Asia
• Skylab and Tata Communications partner to unlock the potential of the Internet of Things for enterprises – Tata Communications and Skylab, a Singapore-based technology solutions provider, announce a partnership to help more enterprises adopt the Internet of Things (IoT). Skylab has chosen Tata Communications as its cloud partner to ensure high levels of flexibility and reliability for customers through Tata Communications’ IZO™ Cloud Enablement Platform and leading global network and partnerships
• Tata Communications readies Sky for Ultra High Definition ahead of 2017 FIA Formula One World Championship season – Tata Communications, Official Connectivity Provider of Formula 1®, Formula One Management and Sky have tested in action live Ultra High Definition (UHD) broadcasting at the 2016 FORMULA 1 SINGAPORE AIRLINES SINGAPORE GRAND PRIX. Following this first ever end-to-end broadcast of an F1® race in UHD, Sky will show all races of the 2017 season in UHD
An Investor fact sheet providing a detailed analysis of the results for the half year and quarter ended September 30th 2016 has been uploaded on the Tata Communications website and can be accessed at:
Tata Communications was the Official Connectivity Provider of Formula 1® between 2012 and 2019. Tata Communications was also the Official Managed Connectivity Supplier to Mercedes-AMG Petronas Motorsport, and Official Digital Transformation Partner to ROKiT Williams Racing until the end of the 2019 season.
About Tata Communications
Tata Communications Limited (CIN no: L64200MH1986PLC039266) along with its subsidiaries (Tata Communications) is a leading global provider of A New World of Communications™. With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.
The Tata Communications global network includes one of the most advanced and largest submarine cable networks and a Tier-1 IP network with connectivity to over 240 countries and territories across 400 PoPs, as well as nearly 1 million square feet of data centre and collocation space worldwide.
Tata Communications’ depth and breadth of reach in emerging markets includes leadership in Indian enterprise data services and leadership in global international voice. Tata Communications Limited is listed on the Bombay Stock Exchange and the National Stock Exchange of India.
Forward-looking and cautionary statements
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.
© 2017 Tata Communications Ltd. All rights reserved. TATA COMMUNICATIONS and TATA are trademarks of Tata Sons Limited in certain countries.