Tata Communications has reported a 3.5 percent decline in its consolidated net profit to Rs. 41.7 crore for the first quarter ended June 30, mainly due to one-time exceptional loss from impairment of Neotel goodwill.
The company had posted a net profit of Rs. 43.3 crore in the same period a year ago.
Tata Communications incurred a loss of Rs. 92 crore representing the impairment of Neotel goodwill, a majorly owned unit of the company. Tata Communications entered into an agreement with Liquid Telecom in June to sell its South African subsidiary Neotel for about Rs. 2904 crore.
The consolidated ebitda of Tata Communications grew by 18 percent Y-o-Y to Rs. 863 crore for the quarter on the back of strong performance by data services and aided by voice. The company also divested partial stake in data center business. The consolidated revenue of Tata Communications also declined by 2.9 percent to Rs. 5031.69 crore from Rs. 5179.61 crore a year ago.
The voice revenue of Tata Communications during the quarter declined by 12.9 percent to Rs. 1789 crore from Rs. 2054.8 crore in the corresponding period of the last financial year. However, the revenue from data services grew by 14.4 percent to Rs. 2841.6 crore in the reported quarter from Rs. 2483.6 crore in the same period a year ago.