Audited Financial Results for the quarter and financial year ended 31 March 2025.
Awaiting price reaction for this filing.
Tata Communications reported FY25 consolidated revenue of ₹23,108.59 crores, up about 11.2% from ₹20,784.68 crores in FY24. Profit after tax surged to ₹1,836.78 crores (vs ₹969.58 crores), largely helped by exceptional items worth ₹691.47 crores, which include a ₹733 crore gain from sale of properties and reversal of an old ₹185.52 crore interest provision related to a telecom license fee matter. The company sold its payments subsidiary (TCPSL) for ₹423.78 crores, booking a ₹311.20 crore gain, and one of the properties at Ambattur, Chennai was sold to an associate (a material related party transaction). The Board recommended a final dividend of ₹25 per share (250%), higher than ₹16.70 last year. Auditors gave an unmodified opinion but flagged massive contingent liabilities of ₹7,734.12 crores linked to DoT license fee/AGR demands as an Emphasis of Matter.
Short-term positives include a sharp jump in PAT, a bigger dividend, and value unlocking via asset sales. However, standalone operating margin compressed to 8.41% (from 10.83%), and unresolved DoT-related contingent liabilities of over ₹7,700 crores remain a key overhang for shareholders.