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Highlights
- Sales over the Year and quarter: The company experienced a substantial growth of 24.58% in the past year Substantial increase in net sales/revenue by 1.04%.
- Income over the Year and quarter: There has been decline in other income over the past year which is -11.59% Marginal increase in other income during this quarter, up by 286.71%.
- Profit over the Year and quarter: Challenges in sustaining profitability for Tata Communications Limited. Profit dropped by -1.57% Year to YearTata Communications Limited’s profitability increased by 613.70% in this quarter.
- EPS over the Year and quarter: EPS declined by -1.49% Year to Year.EPS increased by 617.83%. Positive impact on shareholders.
Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
---|---|---|---|---|---|
Sales | Rs. 4568.66 Cr | Rs. 5633.26 Cr | Rs. 5691.7 Cr | + 1.04% | + 24.58% |
Expenses | Rs. 3534.44 Cr | Rs. 4498.95 Cr | Rs. 4635.4 Cr | + 3.03% | + 31.15% |
Operating Profit | Rs. 1034.22 Cr | Rs. 1134.31 Cr | Rs. 1056.3 Cr | -6.88% | + 2.13% |
OPM % | 22.64 % | 20.14 % | 18.56 % | -1.58% | -4.08% |
Other Income | Rs. 71.08 Cr | Rs. 16.25 Cr | Rs. 62.84 Cr | + 286.71% | -11.59% |
Interest | Rs. 132.11 Cr | Rs. 187.55 Cr | Rs. 188.15 Cr | + 0.32% | + 42.42% |
Depreciation | Rs. 618.5 Cr | Rs. 618.97 Cr | Rs. 665.84 Cr | + 7.57% | + 7.65% |
Profit before tax | Rs. 354.69 Cr | Rs. 344.04 Cr | Rs. 265.15 Cr | -22.93% | -25.24% |
Tax % | 8.12 % | 73.8 % | 52.36 % | -21.44% | + 44.24% |
Net Profit | Rs. 326.64 Cr | Rs. 45.05 Cr | Rs. 321.52 Cr | + 613.7% | -1.57% |
EPS in Rs | Rs. 11.44 | Rs. 1.57 | Rs. 11.27 | + 617.83% | -1.49% |
Today, we’re looking at Tata Communications Limited’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 24.58%. However, it did see a marginal increase of 1.04% from the previous quarter.Expenses ticked up slightly by 3.03% quarter-on-quarter, aligning with the annual rise of 31.15%. Operating profit, while up 2.13% compared to last year, faced a quarter-on-quarter dip of -6.88%, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -4.08%, but a shrinkage of -1.58% sequentially. Other income rose by 286.71% compared to the last quarter,despite an annual decline of -11.59%. Interest expenses surged remarkably by 0.32% from the previous quarter, yet the year-over-year increase remains at a moderate 42.42%. Depreciation costs climbed by 7.57% quarter-on-quarter, whereas on an annual scale, they saw an increase of 7.65%. Profit before tax declined annually by -25.24%but saw a reduction from the preceding quarter by -22.93%.
Tax expenses as a percentage of profits increased slightly by 44.24% compared to last year, with a more notable quarter-on-quarter decrease of -21.44%. Net profit fell by -1.57% year-on-yearbut experienced a 613.7% expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -1.49% but a quarterly rise of 617.83%. In summary, Tata Communications Limited’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
---|---|---|---|---|---|
Sales | Rs. 4568.66 Cr | Rs. 5633.26 Cr | Rs. 5691.7 Cr | + 1.04% | + 24.58% |
Expenses | Rs. 3534.44 Cr | Rs. 4498.95 Cr | Rs. 4635.4 Cr | + 3.03% | + 31.15% |
Operating Profit | Rs. 1034.22 Cr | Rs. 1134.31 Cr | Rs. 1056.3 Cr | -6.88% | + 2.13% |
Net Profit | Rs. 326.64 Cr | Rs. 45.05 Cr | Rs. 321.52 Cr | + 613.7% | -1.57% |
EPS in Rs | Rs. 11.44 | Rs. 1.57 | Rs. 11.27 | + 617.83% | -1.49% |
In reviewing Tata Communications Limited’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 13.62% year-on-year growth, however, there was a minor increase of 1.04% from the previous quarter. Expenses rose by 31.15% compared to the previous year, with a 3.03% increase quarter-on-quarter. Operating Profit surged by 2.13% annually, and saw a -6.88% decrease from the last quarter.
Net Profit showed yearly decrease of -1.57%, and experienced a 613.7% increase from the previous quarter. Earnings Per Share (EPS) fell by -1.49% annually, however rose by 617.83% compared to the last quarter. In essence, while Tata Communications Limited faces strong annual decline indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.