Tata Communications announces its financial results for the quarter (Q3) and nine months (9M) ended December 31st 2014.
Highlights for Q3 FY2015
* Consolidated revenue stood at INR 49,145 million (USD 794 million @average INR/USD exchange rate of 61.91)
* Consolidated EBITDA margins improved by 130 basis points QoQ to 16.3%
* Consolidated PAT stood at INR 1,085 million (USD 17.9 million)
Highlights for 9M FY2015
* Consolidated revenue from operations improved by 4.8% YoY to INR 1,50,978 million (USD 2,485 million @average INR/USD exchange rate of 60.76)
* Consolidated EBITDA grew by 0.5% YoY at Rs. 22,724 million (USD 374 million)
* Consolidated PAT stood at INR 1,795 million (USD 30 million)
* Core business revenue from operations grew by 4.3% YoY while the start-up business revenues were up by 9.4% YoY
A significant increase in data revenues coupled with an upswing in the enterprise segment especially from managed services were the main contributors to the robust growth in performance. The enterprise segment posted an increase in enterprise data revenues for the nine months period by 24% over the corresponding period last year – a growth that supersedes the average industry growth.
Improved operational execution in the data segment strengthened the EBITDA margins to 21% for the quarter. The voice business continues to be a steady generator of free cash in spite of a decline in volumes. Core business profitability is on an upward trajectory with PAT coming in at INR 389 million for the quarter (USD 6 million), up 27.6% QoQ, a significant turnaround from the corresponding period last year.
Commenting on the Q3 & 9M FY15 results, Vinod Kumar, MD and CEO, Tata Communications, says, “Tata Communications’ performance remains in line with our expectations. The improved margins in our data business is representative of the exponential growth of digital demand coupled with our ongoing commitment in driving our network capabilities and global reach. Looking ahead, we will remain focused on driving innovation and strategic investments in transformational services such as cloud and mobility – ensuring long-term stakeholder value.”
Business highlights for Q3 FY2015
* Tata Communications ushers in a new era of internet to drive hybrid cloud adoption: Tata Communications launched IZO(tm), a global network platform for enhanced hybrid cloud enablement. A game changing new network platform – IZO(tm) brings a new way of tackling the complications and challenges that businesses face in realising the potential of the cloud. For the first time, a single provider offers access to a full ecosystem of network, cloud and data centre connectivity making it simple for a business to connect and build its cloud, their way – be it private, hybrid or public.
* Tata Communications and Google join forces to provide businesses a predictable way to ‘Cloud Interconnect’ over the Internet Tata Communications became a Google Cloud Platform Authorised Services Partner. Under the terms of this agreement, Google’s new service, Google Clo ud Interconnect will connect with Tata Communications’ IZO(tm) Public, a cloud enablement service that provides a dedicated and deterministic route, for businesses, into Google’s cloud. Through the IZO(tm) Public cloud enablement service, Tata Communications and Google will be collaborating to provide businesses with a simple and future-proof way to connect and build their cloud over the public Internet – providing unparalleled performance, reach, and capacity ensuring a consistently good user experience for enterprise end-customers.
* Tata Communications launches mobile LNS
