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Tata Communications Q2 FY27 results: net profit up 83.2% to ₹335.61 crore, revenue up 9.6%
Tata Communications Limited reported consolidated revenue of ₹6,688 crore in Q2 FY27, up 9.6% from Q2 FY26, while net profit rose 83.2% to ₹335.61 crore. EBITDA increased 21.2% to ₹1,422 crore and the EBITDA margin expanded 2.1 percentage points to 21.3%.
Key points
- Revenue was ₹6,688 crore in Q2 FY27, up 9.6% from ₹6,100 crore in Q2 FY26 and 1.6% from ₹6,583 crore in Q1 FY27.
- Net profit was ₹335.61 crore, up 83.2% from ₹183.21 crore a year ago and 158.7% from ₹129.72 crore in the previous quarter.
- EBITDA was ₹1,422 crore, up 21.2% year on year, while the margin rose to 21.3% from 19.2%.
- Basic EPS was ₹11.96, compared with ₹6.42 in Q2 FY26 and ₹4.71 in Q1 FY27.
- In H1 FY27, revenue was ₹13,270.71 crore and net profit was ₹465.33 crore, up 10.0% and 24.6% respectively.
How did Tata Communications perform in Q2 FY27?
Tata Communications reported consolidated revenue of ₹6,688 crore for Q2 FY27, compared with ₹6,100 crore in Q2 FY26 and ₹6,583 crore in Q1 FY27. EBITDA rose to ₹1,422 crore from ₹1,174 crore a year ago and ₹1,230 crore in the previous quarter, while the EBITDA margin increased to 21.3% from 19.2% and 18.7%.
Net profit was ₹335.61 crore, against ₹183.21 crore in Q2 FY26 and ₹129.72 crore in Q1 FY27. Profit before tax was ₹462.90 crore, compared with ₹254.64 crore and ₹211.38 crore, respectively, and basic EPS was ₹11.96 against ₹6.42 and ₹4.71. On a standalone basis, revenue was ₹1,854.12 crore and profit after tax was ₹125.86 crore.
| ₹ crore | Q2 FY27 | Q1 FY27 | Q2 FY26 | YoY | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 6,688 | 6,583 | 6,100 | +9.6% | +1.6% |
| Other income | 16.41 | 12.94 | −17.24 | +26.8% | |
| Total expenses | 6,205 | 6,278 | 5,807 | +6.9% | −1.2% |
| EBITDA | 1,422 | 1,230 | 1,174 | +21.2% | +15.6% |
| EBITDA margin | 21.3% | 18.7% | 19.2% | +2.1 pp | +2.6 pp |
| Profit before tax | 462.90 | 211.38 | 254.64 | +81.8% | +119.0% |
| Tax | 124.04 | 86.01 | 82.13 | +51.0% | +44.2% |
| Net profit | 335.61 | 129.72 | 183.21 | +83.2% | +158.7% |
| EPS (₹) | 11.96 | 4.71 | 6.42 | +86.3% | +153.9% |
EBITDA here is revenue from operations less operating costs (total expenses excluding finance costs and depreciation): before other income and exceptional items. Growth is shown only when both figures are positive. Source: Company's results filing (XBRL).
What changed in Tata Communications' costs and profit?
Total expenses were ₹6,205 crore in Q2 FY27, up ₹397.99 crore or 6.9% from ₹5,807 crore in Q2 FY26. Employee benefits expense fell ₹90.82 crore to ₹1,179 crore and finance costs fell ₹4.05 crore to ₹197.91 crore, while depreciation and amortisation increased ₹62.16 crore to ₹740.94 crore and other expenses increased ₹430.70 crore to ₹4,087 crore.
Other income was ₹16.41 crore, compared with an other loss of ₹17.24 crore in Q2 FY26. The exceptional charge was ₹36.54 crore, versus ₹21 crore a year ago and ₹106.36 crore in Q1 FY27. Tax expense was ₹124.04 crore, up ₹41.91 crore from ₹82.13 crore, while profit before tax increased ₹208.26 crore to ₹462.90 crore.
| ₹ crore | Q2 FY27 | Q2 FY26 | Change | Change % |
|---|---|---|---|---|
| Cost of materials | 0 | 0 | 0 | |
| Employee cost | 1,179 | 1,270 | −90.82 | −7.2% |
| Finance costs | 197.91 | 201.96 | −4.05 | −2.0% |
| Depreciation | 740.94 | 678.78 | +62.16 | +9.2% |
| Other expenses | 4,087 | 3,657 | +430.70 | +11.8% |
| Total expenses | 6,205 | 5,807 | +397.99 | +6.9% |
| Other income | 16.41 | −17.24 | +33.65 | |
| Tax | 124.04 | 82.13 | +41.91 | +51.0% |
| Exceptional items | −36.54 (charge) | −21 (charge) |
Source: Company's results filing (XBRL).
How did the first half of FY27 go?
In the first half of FY27, revenue was ₹13,270.71 crore, up ₹1,211.11 crore or 10.0% from ₹12,059.6 crore in H1 FY26. Total income was ₹13,300.06 crore, up 10.3%, and profit before tax rose 23.5% to ₹674.28 crore from ₹545.89 crore.
Profit after tax for H1 FY27 was ₹465.33 crore, up ₹91.98 crore or 24.6% from ₹373.35 crore in H1 FY26. Basic EPS was ₹16.67, compared with ₹13.09.
| ₹ crore | H1 FY27 | H1 FY26 | Change |
|---|---|---|---|
| Revenue from operations | 13,271 | 12,060 | +10.0% |
| Profit before tax | 674.28 | 545.89 | +23.5% |
| Net profit | 465.33 | 373.35 | +24.6% |
| EPS (₹) | 16.67 | 13.09 | +27.3% |
Source: Company's results filing (XBRL).
What do the balance sheet and cash flow show?
At 30 September 2026, total assets were ₹29,010.66 crore, compared with ₹28,403.94 crore at 31 March 2026. Total equity was ₹3,599.15 crore, borrowings were ₹11,854.54 crore and cash was ₹438.01 crore, against ₹3,651.1 crore, ₹10,581.68 crore and ₹641.96 crore, respectively.
Inventories increased to ₹134.17 crore from ₹100.36 crore, trade receivables to ₹4,604.13 crore from ₹4,171.1 crore, and trade payables declined to ₹4,263.89 crore from ₹4,317.31 crore. H1 FY27 operating cash flow was ₹1,562.7 crore, compared with ₹953.64 crore in H1 FY26; investing cash flow was negative ₹1,696.96 crore versus negative ₹521.08 crore, financing cash flow was negative ₹75.36 crore versus negative ₹699.33 crore, and capital expenditure was ₹1,500.69 crore versus ₹1,139.43 crore.
| ₹ crore | As of 30 September 2026 | As of 31 March 2026 |
|---|---|---|
| Total assets | 29,011 | 28,404 |
| Total equity | 3,599 | 3,651 |
| Borrowings | 11,855 | 10,582 |
| Cash and equivalents | 438.01 | 641.96 |
| Inventories | 134.17 | 100.36 |
| Trade receivables | 4,604 | 4,171 |
Source: Company's results filing (XBRL).
| ₹ crore | H1 FY27 | H1 FY26 |
|---|---|---|
| Cash from operations | 1,563 | 953.64 |
| Cash from investing | −1,697 | −521.08 |
| Cash from financing | −75.36 | −699.33 |
| Capital expenditure | 1,501 | 1,139 |
Source: Company's results filing (XBRL).
How has Tata Communications done over the last 8 quarters?
Revenue rose year on year in each of the last eight quarters. Across the reported period, revenue reached a high of ₹6,687.89 crore in Q2 FY27 after bottoming at ₹5,798.07 crore in Q3 FY25, while the EBITDA margin rose from a low of 18.7% in Q1 FY27 to 21.3%.
Which businesses drove the quarter?
Data Services was the largest reported segment, with revenue of ₹5,810.99 crore, up 11.7% from ₹5,204.47 crore in Q2 FY26, and segment EBIT of ₹425.74 crore, compared with ₹313.59 crore. Campaign Registry reported revenue of ₹277.76 crore, up 37.1%, and EBIT of ₹162.03 crore against ₹75.58 crore.
Voice Solutions revenue fell 8.8% to ₹370.04 crore and EBIT declined to ₹18.13 crore from ₹34.93 crore. Transformation Services revenue fell 33.7% to ₹190.11 crore while EBIT was ₹47.89 crore against ₹45.08 crore. Real Estate revenue was ₹51.84 crore, compared with ₹51.85 crore, and EBIT was ₹27.15 crore against ₹25.66 crore.
| Segment | Revenue | Revenue YoY | EBIT | EBIT margin |
|---|---|---|---|---|
| Voice Solutions | 370.04 | −8.8% | 18.13 | 4.9% |
| Data Services | 5,811 | +11.7% | 425.74 | 7.3% |
| Transformation Services | 190.11 | −33.7% | 47.89 | 25.2% |
| Real Estate | 51.84 | −0.0% | 27.15 | 52.4% |
| Campaign Registry | 277.76 | +37.1% | 162.03 | 58.3% |
Source: Company's results filing (XBRL segment data).
What else did the company announce?
The board approved and recorded the unaudited standalone and consolidated financial results for the quarter and half-year ended 30 September 2026. The statutory auditors issued a limited review report with an unmodified opinion.
The board also approved transferring Tata Communications’ entire shareholding in Kaleyra, Inc. to Tata Communications (Netherlands) B.V., a wholly owned subsidiary, in exchange for ordinary shares at fair market value determined by an independent valuation report. The company said the transaction was intended to simplify the group structure without changing its ultimate ownership and beneficial economic interest in Kaleyra.
Ms. Ridhi Sood was appointed Company Secretary and Compliance Officer with effect from 1 November 2026. No dividend or fund-raising decision was included in the same-day filing excerpts.
What did Tata Communications' management say?
Management’s investor presentation said the digital portfolio was on the path to breakeven and identified absolute EBITDA growth, net promoter score and employee satisfaction as priorities. It also cited an increase in digital portfolio mix, platforms sales contribution and operational agility as parts of its growth and profitability plan.
The presentation reported a digital margin of -3.6% in Q2 FY27, compared with -6.9% in Q1 FY27 and -9.7% in FY25. It described continued investment in GPU infrastructure in India and presented a unified AI stack spanning hardware, data and intelligence, and code and action. The earnings-call filing contained only a notice that the transcript had been uploaded, without further guidance, risks or analyst questions.
How did Tata Communications shares react?
After the filing appeared, the stock was up 3.7% after five minutes, 8.8% after 15 minutes and 11.0% after 30 minutes. From the pre-results close, it was up 6.0% on the reaction day, and by the next day’s close it was 5.7% higher from that close; by the fifth session, it was 0.5% higher.
The industry’s other stocks had a median move of -0.8% on the reaction day, -1.0% by the next close and -0.1% by the fifth session. Tata Communications therefore exceeded the industry median by 6.9 percentage points on the reaction day, 6.7 percentage points by the next close and 0.6 percentage points by the fifth session.
Earlier results-day moves were mixed: the stock was down 1.2% on 22 July 2026, up 3.5% on 22 April 2026, down 5.6% on 21 January 2026 and up 3.1% on 15 October 2025.
| After the filing | Stock | Telecom - Cellular & Fixed line services median |
|---|---|---|
| 5 minutes | +3.7% | |
| 15 minutes | +8.8% | |
| 30 minutes | +11.0% | |
| Reaction day | +6.0% | −0.8% |
| Next day | +5.7% | −1.0% |
| 5 days | +0.5% | −0.1% |
Minutes are measured from the price when the filing appeared; days from the previous close. Source: MarketPing price-reaction measurement.
| Results filed on | Stock on the reaction day |
|---|---|
| 22 July 2026 | −1.2% |
| 22 April 2026 | +3.5% |
| 21 January 2026 | −5.6% |
| 15 October 2025 | +3.1% |
| 17 July 2025 | +2.0% |
| 22 April 2025 | −0.7% |
| 22 January 2025 | −1.6% |
| 17 October 2024 | −5.3% |
Source: MarketPing price-reaction measurement.
Quick answers
What was Tata Communications' revenue in Q2 FY27?
Revenue from operations was ₹6,688 crore, up 9.6% from ₹6,100 crore in Q2 FY26 (consolidated).
Did Tata Communications make a profit in Q2 FY27?
Yes. Net profit was ₹335.61 crore, against a net profit of ₹183.21 crore in Q2 FY26.
What was Tata Communications' EPS in Q2 FY27?
Basic earnings per share were ₹11.96, against ₹6.42 in Q2 FY26.
How did Tata Communications shares react to the Q2 FY27 results?
On the reaction day the stock moved +6.0% from the previous close; the median Telecom - Cellular & Fixed line services stock moved −0.8%.
When did Tata Communications announce its Q2 FY27 results?
On 15 October 2026, in a filing to the NSE.
Sources
- Outcome of Board Meeting (NSE, 15 October 2026) · PDF
- The earnings call (22 October 2026)
How this was written: every figure in the tables and charts is calculated from the company’s filed results (XBRL) and MarketPing’s price measurements. The text is drafted with AI from those figures and the filings, and a checker removes any sentence carrying a number it cannot trace to them. How we write these.
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