Tata Communications Reports 43.9% Net Profit Decline in Q1 FY27

Tata Communications, a major Indian telecommunications company, recently announced its financial results for the first quarter of the fiscal year 2027.

The company's net profit decreased by 43.9% compared to the same period last year, falling to ₹130 crore.

Despite this decline, the company's revenue from operations increased by 10.5%, reaching ₹6,595.76 crore.

The company's data services and digital portfolio revenues also saw growth.

However, Tata Communications reported an exceptional loss of ₹106.36 crore, which included charges for staff cost optimization and contractual obligations.

The company's management remains optimistic, highlighting strong growth in core and digital portfolios and expecting double-digit EBITDA growth for the year.

Additionally, the company disclosed significant contingent liabilities related to demand notices from the Department of Telecommunications and ongoing tax litigation in one of its subsidiaries.