Tata Communications Q4 results: Net profit falls 1.5%, declares dividend of ₹16.70 per share

Tata Communications reported a marginal drop in profit after tax (PAT) and a double digit growth in revenue for the quarter ended March 31, 2024 (Q4FY24).

The company’s consolidated net profit dropped 1.56% to ₹321.52 crore in the March quarter compared to ₹326.64 crore in the year-ago period.

Consolidated revenue from operations, however, jumped 24.6% to ₹5,691 crore in the March quarter of FY24 compared to ₹4,568 crore in the year-ago period.

For the full financial year 2023-24 the Tata Group company reported a net profit of ₹969.5 crore, down 46% year-on-year against ₹1800.87 crore reported in FY23.

Net profit in the March quarter was down due to lower share in profit of associates as profit before tax declined by 24% to ₹259.31 crore in the last quarter against ₹345.40 crore in the year ago quarter.

Among segments, Voice Solutions revenue stood at ₹428.96 crore against ₹462.43 crore in the year-ago period. Data services revenue was ₹4,670.87 crore, Transformation Services’ at ₹397.26 crore and payment solutions at ₹41.73 crore in the quarter.

For the full 2023-24 fiscal, the Tata group company reported a 29% jump in income from operations to ₹20,969 crore compared to ₹17,838 crore in FY 2022-23.

Tata Communications board approves ₹16.7 per share final dividend

Tata Communications in an exchange filing stated that its board has recommended a final dividend of ₹16.7 per share for the financial year ended March 31, 2024. This dividend, on approval of the shareholders at the ensuing Annual General Meeting (AGM), shall be paid to eligible shareholders after its conclusion.

The board also approved re-appointment of A.S. Lakshminarayanan as Managing Director and CEO of the Company for a second tenure commencing from November 26, 2024 till April 13, 2026. His appointment is subject to approval of the shareholders in the ensuing AGM and any other statutory approval, Tata Communications said.