Tata Communications Limited — Important, 22-01-2025: Financial Result Updates

**Consolidated Financial Summary for Tata Communications Limited**

Tata Communications reported a consolidated revenue of ₹5,798 crore, reflecting a 2.9% year-over-year growth, primarily driven by a 6.2% increase in data revenue to ₹4,903 crore. EBITDA improved by 4.1% to ₹1,181 crore, resulting in an EBITDA margin of 20.4%.

Net profit for the quarter stood at ₹257 crore, showcasing a substantial increase from the previous quarters. Factors contributing to profitability include operational efficiencies and disciplined cost management, despite exceptional items impacting performance.

Total expenses amounted to ₹5,441 crore, a slight increase from the previous year, influenced by network and employee-related costs. The company has effectively controlled operational expenses, reflecting its commitment to improving cost efficiency.

On the balance sheet, Tata Communications maintains a healthy liquidity position, supported by a robust cash flow. The restructuring efforts and strategic focus on digital services provide a favorable outlook for sustained revenue growth.

Given the improved financial performance and operational strategies in place, a buy rating is suggested for investors looking to capitalize on the company’s future growth potential.