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Model Note · TATA COMMUNICATIONS LTD · 11 September 2026Page 1 of 2
Model Note
Prepared by the reader · not a MarketPing document
TATA COMMUNICATIONS LTD Discounted cash flow · base FY26
TATA COMMUNICATIONS LTD
Value per share, this model₹256
CMP 2026-09-10₹1,755.20
Difference(85.4)%
Growth the CMP implies42.9%/yr
This note states the assumptions and the arithmetic of one model of TATA COMMUNICATIONS LTD, built on its filed FY26 consolidated statements. The value is the outcome of the assumptions below and nothing else; it is not a fair value, a target or a recommendation.
Assumptions
Input
This model
Filed reference
Revenue growth, 5 years
7.5% a year
FY26 7.3% · 5-yr CAGR 7.7%
EBITDA margin
19%
FY26 19.0% · 5-yr average 22.2%
Depreciation · capex, % of revenue
11.4% · 9.8%, fading to 1.2× depreciation
FY26 11.4% · 9.8%
Working capital, % of added revenue · tax
0% · 30%
-1 working-capital days · effective 30.0%
Discount rate
11.00%
1-yr beta 0.87
After FY31
5% flat · mid-year discounting
—
Net debt · non-controlling interest · non-operating investments
₹9,940 · ₹0 · ₹0 cr
FY26 net debt ₹9,940 cr
Shares
28.50 crore
28.50 crore today
Source: SEBI results XBRL as filed with BSE/NSE, exchange prices; the reader's assumptions.
Projected cash flow to the firm
₹ crore
FY26
FY27
FY28
FY29
FY30
FY31
Revenue
24,803
26,663
28,663
30,812
33,123
35,608
growth %
7.3
7.5
7.5
7.5
7.5
7.5
EBITDA
4,725
5,066
5,446
5,854
6,293
6,765
Depreciation
(2,827)
(3,040)
(3,268)
(3,513)
(3,776)
(4,059)
NOPAT
1,328
1,418
1,525
1,639
1,762
1,894
less capex
(2,433)
(2,613)
(3,087)
(3,617)
(4,210)
(4,871)
less working-capital build
—
0
0
0
0
0
Free cash flow to firm
—
1,845
1,705
1,534
1,328
1,082
Present value
1,751
1,458
1,182
922
677
Source: the model; base year as filed.
Every figure is the reader's model over filed numbers · No rating, target or fair value is expressedmarketping.in
Model Note · TATA COMMUNICATIONS LTD · 11 September 2026Page 2 of 2
From enterprise to equity
PV of the 5 explicit years
5,990
PV of the terminal value (65% of EV)
11,242
Enterprise value
17,232
less net debt
(9,940)
less non-controlling interest
0
add non-operating investments
0
Equity value
7,292
÷ 28.50 crore shares
₹256
Source: the model.
Sensitivity, ₹ per share
WACC ↓ · terminal growth →
4.0%
4.5%
5.0%
5.5%
6.0%
10.0%
274
313
361
418
490
10.5%
232
265
303
350
406
11.0%
196
224
256
294
339
11.5%
165
188
215
247
284
12.0%
138
158
181
207
238
Source: the model; n/a where terminal growth reaches the discount rate.
Statement
This note is the reader's own model over publicly filed information: SEBI results XBRL filed with BSE and NSE and exchange price data, assembled by MarketPing software; every assumption above is the reader's. It contains no research recommendation, no price target and no opinion by MarketPing on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Historical per-share figures are on the current share count. Where a figure is unavailable the table shows a dash rather than an estimate. Nothing here constitutes investment advice, an offer or a solicitation.
Every figure is the reader's model over filed numbers · No rating, target or fair value is expressedmarketping.in
