Tata Communications on Wednesday reported a 10.7% decline in its consolidated net profit for the quarter ended March 2023, coming in at Rs 326 crore. This is against a net profit of Rs 365 crore in the corresponding quarter last fiscal. However, the consolidated revenue from operations grew by 7.2% to Rs 4,568.7 crore in the quarter under review from Rs 4,263 crore a year ago. Sequentially, the net profit was down 17% from the December quarter.
Despite the quarterly decline, the company reported a net profit of Rs 1,801 crore for the entire FY23, up from Rs 1,485 crore in the previous year. The earnings before interest, taxes, depreciation, and amortisation (EBITDA) was down 1.1% at Rs 1,034.2 crore from Rs 1,045.3 crore in the year-ago period. The company’s board has recommended a final dividend of Rs 21 per share of the face value of Rs 10 each for the financial year ended March 31, 2023.
The results showed that the revenue clocked was marginally higher, coming in at Rs 4,526 crore in the third quarter. On Wednesday, the Tata Communications‘ scrip ended 1.59% down at Rs 1193.70 on BSE.
Despite the quarterly decline in net profit, the company’s full-year results demonstrate its commitment to delivering profitable growth and creating sustainable value for its customers.
A.S. Lakshminarayanan, MD and CEO, Tata Communications, said, “Our expanding digital portfolio coupled with improving relevance quotient across India and International markets is helping us reposition the Company as a ‘CommTech‘ leader. We remain committed to our Reimagine strategy to deliver profitable growth by creating sustainable value for our customers.”
