Tata Comm Q1 net profit dips 22% to Rs 33 crore
Tata Communications reported a 22.27 percent fall in its consolidated net profit at Rs 32.94 crore in the April-June quarter.
July 24, 2017 / 08:58 PM IST
Tata Communications on Monday reported a 22.27 percent fall in its consolidated net profit at Rs 32.94 crore in the April-June quarter.
The company had posted a net profit of Rs 42.38 crore in the same period a year ago.
Total income of Tata Communications too declined by 4.34 percent to Rs 4,552.3 crore during the reported quarter from Rs 4,354.39 crore in the same period a year ago.
"On year-on-year basis core revenues declined, as expected, primarily due to de-growth in the voice business, in-line with the industry trends," Tata Communications said in a statement.
The company further said that its data services revenue improved by 4.6 percent on yearly basis.
"We are also proactively investing into futuristic workflows and systems that will boost our productivity and enhance the customer experience. These investments will positively impact the medium to long-term margins," Tata Communications MD and CEO Vinod Kumar said.
The company said its free cash flow after capex, interest and tax increased by 45 percent to Rs 107 crore.
"Our free cash flow generation remains robust notwithstanding investments into new growth services and for our in-house business transformation projects," Tata Communications CFO Pratibha K Advani said.
Shares of Tata Communications closed at Rs 647.6 a unit, down by 1.29 percent compared to previous close, at BSE on Monday.