Tanla Solutions posts 74% growth in Q3 net profit

The telecom products and solutions company reported a net profit at Rs 4.29 crore, while revenues stood at Rs 108.90 crore

Tanla Solutions Limited, a Hyderabad-based telecom products and solutions company, has witnessed a 73.68% growth in its net profit to Rs 4.29 crore for the third quarter ended December 2015, as compared with Rs 2.47 crore in the corresponding quarter of last year.

The company's revenues rose 63.51% to Rs 108.90 crore for the quarter under review, as against Rs 66.6 crore during the same period a year ago, primarily on account of increase in A2P (application-to-person) messaging volumes and launch of international messaging services, Tanla said in a filing to the BSE on Tuesday.

Tanla Solutions' two-way messaging on Singapore A2P messaging hub went live in December 2015. The company said in a release that the hub was now fully compliant with TRAI's 16th amendment regulation for internationally-originated messages, and was now being used by social media, search and over-the-top (OTT) players.

“The company has signed agreements with two new telecom service providers for provision of international A2P messaging services in India. The technical deployment is in the process and is expected to go live before the end of the fourth quarter," it added.

Tanla touched the highest daily volume of five billion domestic messages in October 2015 and the highest daily volume of 250 million messages during December 2015. It processed 11.34 billion domestic messages in Q3 of FY16.

At 12:14 pm, the company’s stock was trading at Rs 42.20, down 3.87%, on the BSE.