Tata Communications Q3 FY26 Profit Nearly Doubles To ₹365 Cr, Revenue Rises 6.7% YoY

Tata Communications Q3 FY26 Profit Nearly Doubles To ₹365 Cr, Revenue Rises 6.7% YoY

Tata Communications posted a strong Q3 FY26 performance, with consolidated profit nearly doubling sequentially to Rs 365 crore on steady revenue growth. Revenue rose 6.7 percent year-on-year to Rs 6,189 crore, aided by improved operational efficiency and stable data services growth, despite higher expenses and exceptional items.

Manoj YadavUpdated: Wednesday, January 21, 2026, 02:58 PM IST
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File Image | Tata Communications Limited reported a sharp improvement in profitability in the December quarter.

Mumbai: Tata Communications Limited reported a sharp improvement in profitability in the December quarter, with consolidated net profit attributable to equity shareholders almost doubling sequentially to Rs 365.28 crore in Q3 FY26, supported by steady revenue growth and lower exceptional charges.

Revenue from operations for the quarter rose 6.7 percent year-on-year to Rs 6,188.97 crore, compared with Rs 5,798.07 crore in the corresponding period last year.

Sequentially, the company’s profit after tax jumped 99.6 percent from Rs 183.06 crore in Q2 FY26, reflecting a strong rebound in operating performance. Total income for the quarter stood at Rs 6,448.26 crore, up from Rs 6,082.51 crore in the preceding quarter and Rs 5,826.80 crore in Q3 FY25.

Operating expenses increased to Rs 5,913.57 crore in Q3 FY26 from Rs 5,806.87 crore in Q2 FY26, largely driven by higher network and transmission costs and depreciation.

However, profit before exceptional items, tax and share of associates rose sharply to Rs 534.69 crore from Rs 275.64 crore in the September quarter, indicating improved operational efficiency. After accounting for exceptional charges of Rs 76.78 crore during the quarter, profit before tax stood at Rs 457.91 crore, compared with Rs 254.64 crore in Q2 FY26.

On a year-on-year basis, profit before tax grew 23.5 percent from Rs 370.72 crore in Q3 FY25, while profit after tax attributable to owners increased 54.8 percent from Rs 235.96 crore. Earnings per share (basic, continuing operations) for the quarter rose to Rs 12.82, compared with Rs 6.42 in the previous quarter and Rs 9.00 a year ago.

For the nine months ended December 31, 2025, Tata Communications reported consolidated revenue from operations of Rs 18,248.57 crore, up 6.6 percent from Rs 17,118.24 crore in the same period last year. However, net profit attributable to equity holders for the nine-month period declined to Rs 738.32 crore from Rs 796.02 crore in 9M FY25, impacted by higher exceptional costs and tax adjustments during the period.

The company said the quarterly performance was aided by stable growth in data services and disciplined cost management, while it continued to navigate regulatory and one-time items. Management maintained focus on strengthening its digital fabric and core connectivity portfolio, even as it monitored exceptional and regulatory developments impacting longer-term profitability.

Disclaimer: This report is based on publicly disclosed financial results by Supreme Industries. It is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell.