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Tata Communications Shares Jump 14% as Q2 Profit Surges 86%
- •Tata Communications reported an 86.3% year-on-year jump in consolidated net profit to ₹341 crore for the September quarter.
- •Revenue from operations rose 10% to ₹6,688 crore, while EBITDA grew 21.1% to ₹1,422 crore.
- •Losses in the digital business halved from the previous quarter, driven by stronger data revenue.
- •The company's shares surged up to 13.6% intraday following the strong earnings announcement.
- •MD and CEO Ganesh Lakshminarayanan highlighted artificial intelligence and connectivity demand as key growth drivers.
Key Questions Answered
Tata Communications reported an 86.3% year-on-year jump in consolidated net profit to ₹341 crore for the September quarter, up from ₹183 crore a year earlier. Revenue from operations also rose 10% to reach ₹6,688 crore compared to ₹6,100 crore in the same period last year.
Tata Communications shares reacted positively to the earnings announcement, jumping 14% from intraday lows. The stock touched an intraday high of ₹1,866 on the NSE from a low of ₹1,643.10.
MD and CEO Ganesh Lakshminarayanan highlighted that artificial intelligence is emerging as a significant growth driver, supported by strong demand for data centre-to-data centre connectivity. He noted that the company's Unified AI Stack is gaining customer traction and that they enter the second half of the year with strong momentum.
