Tata Communications logs Rs 108.53 cr profit in Dec qtr

Tata Communications today reported a nearly three-fold jump in net profit at Rs 108.53 crore for the quarter ended December 31, 2014, on the back of increase in data revenues and upswing in enterprise segment.
The company had reported a net profit of Rs 36.51 crore for the corresponding quarter last financial year, the company said in a filing to the BSE.
Total income from operations of the company, however, declined marginally to Rs 4,914.51 crore for the reported period compared with Rs 4,996 crore in the same quarter last year.
"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 company said.

Tata Communications said the enterprise segment posted an increase in enterprise data revenues for the nine months period by 24 per cent over the corresponding period last year - a growth that supersedes the average industry growth.
It said the voice business continues to be a steady generator of free cash in spite of a decline in volumes.

"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," Tata Communications MD and CEO Vinod Kumar said.
He added, looking ahead, the company will remain focused on driving innovation and strategic investments in transformational services such as cloud and mobility - ensuring long-term stakeholder value.

Shares of the company closed at Rs 413.85 apiece, up 4.43 per cent on the BSE.