Tata Communications, a global digital ecosystem enabler, today announces its financial results for the quarter and nine months ended 31st December 2021.
Highlights | Q3 FY2022
Consolidated financial highlights
- Sequential growth in Data business continues; revenues were at INR 3,233 crore, growing by +3.0% QoQ and +3.4% YoY. All 3 segments (Core Connectivity, Digital Platforms, & Incubation services) of Data business witnessed healthy growth
- Digital Platforms and Solutions continue to improve and gain growth momentum, revenues grew by +5.2% QoQ and +6.7% YoY
- Within Digital Platforms, all segments except Collaboration witnessed double digit YoY growth and strong sequential growth
- Core Connectivity witnessed a revenue growth of +1.6% QoQ and +1.3% YoY
- Consolidated revenue came in at INR 4,185 crore (USD 558.5 Mn); growth of +0.3% QoQ and a decline of -0.9% YoY. Consolidated EBITDA at INR 1,082.5 crore (USD 144.5 Mn); an increase of +3.5% YoY, with margins in at 25.9%, expanding by 110 BPs as compared to same quarter last year
- Consolidated PAT stands at INR 395 crore (USD 52.8 Mn), growth of + 27.8% YoY
Commenting on the results, A.S Lakshminarayanan, MD and CEO, Tata Communications, said, “We witnessed another quarter of good sequential growth in our data business, with digital platforms and solutions delivering robust results. We continue to focus on providing holistic solutions to our customers and accelerating their digital transformations.”
Kabir Ahmed Shakir, Chief Financial Officer, Tata Communications, said, “We are pleased with the growth in revenue as well as profitability during Q3 FY22. Our performance demonstrates sustained progress in our journey towards our financial fitness. Healthy improvement in free cash flows and reduction in net debt provides us headroom to invest for future growth.”
An investor fact sheet providing detailed analysis of the results for the quarter and nine months ended 31st December 2021 has been uploaded on the Tata Communications website and can be accessed here.
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. Its Tier-1 IP network, wholly-owned subsea fibre backbone and consortium cables’ global network carries ~30% of the world’s internet routes. For more information please visit www.tatacommunications.com
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.
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