Last Updated on January 18, 2024 by ethinos
On January 18, 2024, Tata Communications Limited (BSE, NSE: TATACOMM) announced its Q3 2023-24 results, reporting a record-breaking Q3 Revenue over ₹5,000 Crores along with YoY Revenue growth and YoY EBITDA growth.
Table of Content
Q3 Result Takeaways
Here are the overall highlights of Q3 results:
- Tata Communications Limited reported a Q3 Revenue of ₹5,633 Cr (USD 677.1 Mn), marking a 24.4% rise on a YoY basis. The robust performance in Revenue was largely driven by healthy Data Revenue.
- For Q3, Data Revenue stood at ₹4,618 Cr (USD 555.1 Mn), an increase of 28.5% YoY.
- In Q3, Digital Portfolio Revenue witnessed a growth of 78.2% YoY, contributing ~45% to the portfolio of Data.
- The Company witnessed growth in India Enterprise, and this was marked by a robust increase of 10.4% YoY.
- The consolidated EBITDA for Q3 stood at ₹1,134 Cr (USD 136.3 Mn), displaying a marked improvement of 5.3% YoY and 11.7% QoQ.
Additional Read: Q3 Results Dashboard
Q3 Result Details from the Management Commentary
The MD & CEO, and the CFO of Tata Communications Limited had some key aspects of the Q3 results to share and these are mentioned below:
- The Company reported a quarter marked by healthy growth in which Revenue has reached a milestone in the history of the Company.
- Digital services have contributed to the success of Q3 in a large part, contributing 45% aligned with Company policies and objectives.
- The Company’s acquisitions of The Switch, Oasis, and Kaleyra established new channels for innovation and growth.
- The Company remains confident about its medium-term goals.
- The Company sees multiple ways to maximise value via inorganic and organic investments.
- The main focus of the Company to act as an impetus for growth is strong cash flow generation.
Financial Results at a Glance
Here is a glimpse of the consolidated financial results of Q3 (figures in ₹ Cr except where indicated by %):
| Metrics | Q3 FY 2023-24 | Q3 FY 2022-23 | YoY % Growth |
| Gross Revenue | 5,633 | 4,528 | 24.4% |
| Data Revenue | 4,618 | 3,593 | 28.5% |
| EBITDA | 1,134 | 1,077 | 5.3% |
| EBITDA Margin | 20.1% | 23.8% | (370 bps) |
| Profit After Tax (PAT) | 45 | 394 | -88.6% |
| Adjusted PAT | 251 | 394 | -36.2% |
| Adjusted PAT Margin | 4.5% | 8.7% | (420 bps) |
Additional Check: Tata Communications Limited
Q3 FY24 Result Summary
Tata Communications, an enabler of digital communications for enterprises, aids companies in being aligned with the new digital ecosystem that is present in industries today. Included in the Fortune 500 list, Tata Communications has more than 7,000 customers all over the globe. With its emphasis on boosting customer experiences and products, it encourages borderless growth. The company touts an approach that concentrates on generating solutions, state-of-the-art infrastructure, and a reliable service-oriented ability that wins clients. At the core of the Company is the aim of leading the next level of intelligence via mobility, IoT, the cloud, and services and digital networks.
Apart from a third quarter marked by strong financial growth, the communication and network giant witnessed other achievements and strategic collaborations. Significantly, Singapore Airlines has partnered with Tata Communications Limited in order to boost its client experience. In other key partnerships, Tata Communications Limited has partnered with JLR to transform organisation digitally. In terms of accolades, the Company has earned the prestigious Golden Peacock Global Award for Social Responsibility and the Award for Diversity and Inclusion Initiative of the Year at the Singapore Business Review Management Excellence Awards, among others. With the Company earning recognitions from the Data Council of India and consecutive quarters of growth, the Company is positioned for future prosperity.
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