(20 second reading) Tata Communications reported a whopping increase in its net profit to Rs 321.52 crore, from Rs45.1 crore in the third quarter. However, this figure was down by 1.5% from Rs326.42 crore for the same quarter a year ago. At the same time Tata Com also reported consolidated Q4 revenue rising 24.6% year-on-year to Rs5,692 crore; Ebitda increased by 2% to Rs 1,056 crore. Margins on the other hand, declined to 18.6% from 22.6% a year ago and profit margins slipped 156 basis points to 5.6% for the quarter.
Margin pressures are likely to continue due to its efforts to integrate its global acquisitions as well as spending to turn around some overseas operations. He also indicated that costs may stay on the higher side as Tata Com is looking to increase its reach in the foreign markets.
