Tata Communications Q1 net profit jumps 236%

Tata Communications Ltd reported a 236% surge in profit after tax to ₹258 crore in the quarter ended June, from ₹77 crore a year earlier. The massive rise in profit was driven by strong growth in data business, which also buoyed the company’s revenue during the quarter.

The telco’s consolidated revenue grew 5.6% year-on-year (y-o-y) to ₹4,403 crore during the June quarter. Revenue from data business rose 10% from a year ago to ₹3,604 crore due to robust performance across all segments despite uncertain economic environment.

The nationwide lockdown and the ensuing remote working led to increase in bandwidth usage and higher collaboration traffic, the company said in a statement.