Batelco-Cisco partnerships extended
Tata Communications’ strategic focus on offering best-in-class digital infrastructure solutions is showing results, company chief financial officer Pratibha K. Advani said in the latest quaterly report on the company.
“Our strategic focus on offering best-in-class digital infrastructure solutions is showing results. The overall share of profitable Data services is increasing and performance during the quarter reflects the continued momentum,” said Advani in the report on financial results for the quarter ended 30 June 2019.
“Robust growth in our Enterprise business (+20%) and Growth services (+29%) is testament to the fact that we are considered as a preferred digital transformation partner. With our continued market focus, we have won large deals across our product portfolio from some of the biggest global enterprises, which are in different stages of execution.
“Our Data business has witnessed robust performance both in terms of revenue and profitability. We have a strong order book and we expect this trend to continue as we keep executing large deals.
“We are reimagining and transforming our systems, processes and cost structure to achieve even higher level of efficiencies and profitability,” said Advani.
The highlights included new launches:
Tata Communications’ IoT Marketplace – the first-of-its-kind IoT Marketplace in India. Tata Communications launched of its Internet of Things (IoT) Marketplace – a first-of-its-kind initiative in India to strengthen and accelerate the country’s growing IoT ecosystem.
CII – Tata Communications Centre for Digital Transformation’s ‘Digital Maturity Appraisal’: The CII-Tata Communications Centre for Digital Transformation launched a digital transformation self-assessment tool – the Digital Maturity Appraisal – to help Indian industries navigate today’s business landscape as it continues to undergo rapid changes, led by digital technologies which are transforming the way systems, processes and people work.
Research: Global Talent Competitiveness Index (GTCI): Produced in partnership with INSEAD, The Adecco Group and Tata Communications, the GTCI is an annual benchmarking report that measures the ability of 125 countries to compete for talent. The 2019 Global Talent Competitiveness Index (GTCI) saw six Asia Pacific countries ranking in the top quartile with Singapore leading the Asia Pacific in talent competitiveness for the 6th straight year
The company has renewed partnerships:
Batelco and Tata Communications: Batelco, Bahrain’s leading digital communications solutions provider announced an extension of its partnership with Tata Communications, to offer flexible and reliable data connectivity with expanded global reach; to service providers, mobile network operators (MNO) and ISPs in the Middle East.
Cisco and Tata Communications: Tata Communications extended its partnership with Cisco to redefine enterprise networking in the multi-cloud world with new managed SD-WAN solution. The companies will enable enterprises to transform their legacy network to a customised and secure multi-cloud native hybrid network.
Leadership update: On 30 July 2019, Tata Communications appointed Amur Swaminathan Lakshminarayanan as the Managing Director and Chief Executive Officer (MD & CEO) of the Company.
Performance
Tata Communications’ strong growth in Data business boosted revenue by +12.4% YoY on the back of robust performance across all segments, despite industry headwinds.
Growth services witnessed robust momentum; revenue grew by +29.2% YoY on the back of strong execution and large deal wins.
Traditional services saw an upsurge in revenue and profitability; revenue grew by +6.1% YoY with EBITDA margins at 38.5%.
Data services contribute 79% of the overall revenues, up from 74% in Q1 FY19.
Data EBITDA was at Rs.736 crore (US$106 million); growth of +42.7% YoY led by strong profitability in Traditional services.
Consolidated revenue was at Rs.4,169 crore (US$599 million); growth of +5.7% YoY. Growth in Data business has helped mitigate the decline in the Voice business.
Consolidated EBITDA at Rs.826 crore (US$119 million); increase of +40.7% YoY on the back of strong profitable growth in the Data business and steady Voice margins.
Consolidated PAT at Rs.77 crore (US$11 million) as compared to a loss of Rs.199 crore (US$29 million) in Q4 FY19
CAPEX for this quarter was US$45 million as compared to US$60 million in Q4 FY19. fiinews.com
