Tata Communications, a global digital ecosystem enabler, today announces its financial results for the second quarter ended 30th September 2022.
Highlights | Q2 FY2023
Consolidated financial highlights
- Consolidated revenue stood at INR 4,431 crore (USD 555.5 Mn); increasing +6.2% YoY. Sequentially, growth in revenue followed upsides in the Data business
- Consolidated EBITDA came in at INR 1,130 crore (USD 141.7 Mn); rising +1.5% YoY, where margins stood at 25.5%, growing by 50 Bps sequentially
- Consolidated PAT stood at INR 532 crore (USD 66.7 Mn) from INR 425 crore (USD 57.4 Mn) in Q2 FY22, marking an increase of +25.1% YoY
- Committed CAPEX for this quarter stood at USD 52.7 Mn relative to USD 52.9 Mn in Q2 FY22
Data services portfolio
- Data business revenues came in at INR 3,493 crore (USD 438 Mn), recording an increase of +4.6% QoQ and +11.2% YoY. Strong momentum witnessed across all offerings in the Data portfolio
- EBITDA stood at INR 1,007 crore (USD 126.3 Mn), up +3.9% QoQ on the back of strong operational efficiencies
- The Core Connectivity portfolio reported growth of +5.9% YoY in revenue; EBITDA enhanced by +7.5% YoY, with margins coming in at 46.6%
- Digital Platforms and Services delivered robust growth of +16.5% YoY and +6.1% QoQ
Declaring the results, A.S Lakshminarayanan, MD and CEO, Tata Communications, said, “We are pleased to announce robust data revenue growth and healthy profits in the second quarter of this fiscal. Our international markets are witnessing good growth and our continued efforts of shifting from products to platforms is yielding positive results.”
Commenting on the results, Kabir Ahmed Shakir, Chief Financial Officer, Tata Communications, said, “Our performance in the second quarter demonstrates our broad-based growth, continued strong performance on profitability and free cash flow. We are further strengthening our position as a trusted partner to our customers helping them evolve in their digital transformation journeys.”
An investor fact sheet providing detailed analysis of the results for the quarter ended 30th September 2022 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. 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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