Tata Communications has reported its Q2 FY26 financial results, with strong growth in revenue and improved margins. The company’s consolidated revenue for Q2 FY26 stood at ₹6,099.75 crore, marking a 6.5% increase year-on-year. The company also posted a profit after tax (PAT) of ₹183.21 crore, reflecting steady progress in its business operations.
The company’s consolidated revenue from operations for Q2 FY26 amounted to ₹6,099.75 crore, with Data Services revenue contributing ₹5,204.47 crore. This growth was driven by a 7.3% year-on-year increase in the Data Services segment. Tata Communications also reported an EBITDA proxy of ₹494.84 crore for the quarter, with the Data Services segment showing a strong margin of 18.6%, a 140 bps increase compared to the previous quarter.
Profit after tax (PAT) for the quarter was ₹183.21 crore, while the total comprehensive income stood at ₹265.04 crore. Basic EPS for the quarter was ₹6.42. For the half-year period ending September 30, 2025, the company achieved a PAT of ₹373.35 crore and revenue of ₹12,059.60 crore.
On a standalone basis, Tata Communications reported revenue from operations of ₹1,802.60 crore for Q2 FY26, with a significant contribution from its Data Services segment, which generated ₹1,724.69 crore.
The company also posted a profit after tax of ₹210.94 crore and EPS of ₹7.40 for the quarter. The total comprehensive income for Q2 was ₹214.43 crore. Operating cash flow for the half-year was ₹149.59 crore, with a cash balance of ₹55.46 crore as of September 30, 2025.
The Q2 FY26 results include exceptional items amounting to ₹21 crore, primarily related to staff cost optimisation charges and gains on asset sales. The company also disclosed a contingent liability of ₹7,496.69 crore related to various demand notices from the Department of Telecommunications (DoT). Tata Communications believes it can successfully defend its position against these notices.
The Data Services segment continued to be the main revenue driver, contributing ₹5,204.47 crore in Q2 FY26. The Voice Solutions segment, however, remains a smaller contributor with a revenue of ₹405.96 crore. The Campaign Registry segment performed well, contributing ₹202.54 crore to the overall revenue.
Read More: TCS Q2FY26 Results: Revenue Soared ~4% QoQ, Declared Interim Dividend of ₹11!
On October 15, 2025, Tata Communications share price opened at ₹1,945.00 on NSE, above the previous close of ₹1,872.60. During the day, it surged to ₹1,999.00 and dipped to ₹1,880.00. The stock is trading at ₹1,943.00 as of 2:20 PM. The stock registered a significant gain of 3.76%.
Over the past week, it has moved up by 14.51%, over the past month, it has moved up by 13.37%, and over the past 3 months, it has moved up by 12.40%.
Tata Communications' Q2 FY26 results showcase strong revenue growth and improved margins, particularly in the Data Services segment. With continued momentum in its digital portfolio and a focus on profitability, the company is well-positioned for growth in the coming quarters.
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Published on: Oct 15, 2025, 3:14 PM IST
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