Tata Communications Ltd reported strong financial results for the third quarter of FY26 (October–December 2025), highlighting both profit growth and improving business momentum:
📊 Key Financial Highlights (Q3 FY26 vs Q3 FY25)
• Consolidated PAT jumped ~55% year-on-year to ₹365 crore, up from ₹236 crore in the same period last year.
• Revenue from operations grew ~7% YoY, rising to ₹6,189 crore compared with ₹5,798 crore a year ago.
• Data revenue — the core growth driver — increased ~9.3% YoY, underscoring customer demand for connectivity and digital services.
• EBITDA was ₹1,228 crore, with the margin near 19.8%, reflecting continued focus on profitable growth.
Profit on a sequential basis doubled from about ₹183 crore in the preceding quarter, showing accelerating earnings momentum quarter-on-quarter as well.
📌 Management Commentary
CEO A.S. Lakshminarayanan said the quarter’s performance reflected a disciplined focus on data-led growth and expanding margins, supported by a healthy order book. The company highlighted momentum across digital infrastructure and ongoing investments in next-generation services.
📈 What Drove the Results
• Data Services remained the main revenue engine, offsetting a contraction in traditional Voice Solutions.
• Strong operational execution and cost discipline helped expand PAT margins to around 5.9%.
📍 Market Context
Despite positive results, Tata Communications’ share price traded lower amid broader market weakness on the day of the announcement, reflecting macro headwinds in Indian equities.
In summary: Tata Communications delivered a robust Q3 performance with strong profit growth, healthy revenue trends and improving margins, driven particularly by its data business — a key strategic focus as demand for digital connectivity and services climbs.
