Tata Communications Ltd

₹ 1,268 -1.90%
07 Dec - close price
About

Tata Communications was incorporated on March 19, 1986 as VSNL. In February 2002, the Government of India, as per their disinvestments plan, sold 25% of their holding in the company to the strategic partner. Consequently, the company was taken over under the administrative control of TATA. [1] It is the leading global digital ecosystem enabler. It has a leadership position in emerging markets, and an infrastructure that spans the globe. It delivers managed solutions to multinational companies and service providers. It partners with 300 of the Fortune 500 companies with their state-of the-art solutions, including a wide range of communication, collaboration, cloud, mobility, connected solutions, network and data center services. [2]

Key Points

Leadership
Its global network includes one of the most advanced and largest submarine cable networks. It is in the Top 5 IP providers on 5 continents and offer public and private network connectivity to more than 240 countries and territories. [1] It carries 30% of global internet route, connects 4 of 5 global mobile subscriber and it is a number 1 wholesale voice provider. [2]

  • Market Cap 36,145 Cr.
  • Current Price 1,268
  • High / Low 1,592 / 856
  • Stock P/E 20.4
  • Book Value 31.8
  • Dividend Yield 1.63 %
  • ROCE 21.8 %
  • ROE 282 %
  • Face Value 10.0

Pros

  • Company has reduced debt.

Cons

  • Stock is trading at 39.8 times its book value
  • The company has delivered a poor sales growth of -1.04% over past five years.
  • Company might be capitalizing the interest cost
  • Promoter holding has decreased over last 3 years: -16.1%

* The pros and cons are machine generated. Pros / cons are based on a checklist to highlight important points. Please exercise caution and do your own analysis.

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Quarterly Results

Consolidated Figures in Rs. Crores / View Standalone

Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021 Dec 2021 Mar 2022 Jun 2022 Sep 2022
4,273 4,229 4,398 4,403 4,401 4,223 4,073 4,103 4,174 4,185 4,263 4,311 4,431
3,439 3,468 3,529 3,361 3,244 3,177 3,058 3,117 3,061 3,102 3,218 3,233 3,301
Operating Profit 834 761 869 1,042 1,158 1,046 1,015 986 1,113 1,082 1,045 1,077 1,130
OPM % 20% 18% 20% 24% 26% 25% 25% 24% 27% 26% 25% 25% 26%
4 14 -341 4 22 -3 59 19 49 27 243 234 113
Interest 116 116 123 116 106 104 93 96 91 83 90 80 98
Depreciation 558 561 687 590 572 557 595 532 542 542 589 537 552
Profit before tax 163 98 -282 340 501 381 386 377 530 484 609 694 593
Tax % 68% 41% 3% 24% 23% 19% 23% 21% 20% 20% 40% 23% 11%
Net Profit 54 59 -275 258 385 309 299 297 426 393 369 545 534
EPS in Rs 1.89 2.05 -9.65 9.05 13.49 10.85 10.50 10.39 14.93 13.87 12.81 19.08 18.68
Raw PDF

Profit & Loss

Consolidated Figures in Rs. Crores / View Standalone

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 TTM
11,932 14,196 17,213 17,714 19,913 18,149 17,620 16,772 16,525 17,068 17,100 16,725 17,189
10,691 12,405 15,153 15,708 16,919 15,714 15,214 14,359 13,780 13,779 12,840 12,498 12,855
Operating Profit 1,241 1,791 2,060 2,006 2,994 2,434 2,406 2,412 2,745 3,289 4,261 4,227 4,334
OPM % 10% 13% 12% 11% 15% 13% 14% 14% 17% 19% 25% 25% 25%
170 145 331 717 291 82 1,294 -116 62 -321 82 338 617
Interest 570 834 794 427 751 409 367 344 397 471 420 360 351
Depreciation 1,548 1,820 2,027 1,852 2,161 1,864 1,866 1,906 2,068 2,358 2,314 2,205 2,220
Profit before tax -707 -718 -431 444 373 243 1,467 46 343 140 1,609 2,000 2,381
Tax % 1% -9% -51% 77% 99% 96% 16% 778% 80% 162% 22% 26%
Net Profit -883 -788 -651 103 3 10 1,235 -326 -80 -85 1,252 1,485 1,840
EPS in Rs -27.26 -27.88 -21.87 3.56 0.05 0.30 43.26 -11.53 -2.89 -3.02 43.88 51.99 64.44
Dividend Payout % -7% -7% -14% 126% 12,151% 1,412% 14% -39% -156% -133% 32% 40%
Compounded Sales Growth
10 Years: 2%
5 Years: -1%
3 Years: 0%
TTM: 4%
Compounded Profit Growth
10 Years: 14%
5 Years: -7%
3 Years: 173%
TTM: 34%
Stock Price CAGR
10 Years: 24%
5 Years: 24%
3 Years: 47%
1 Year: -7%
Return on Equity
10 Years: %
5 Years: %
3 Years: %
Last Year: 282%

Balance Sheet

Consolidated Figures in Rs. Crores / View Standalone

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Sep 2022
285 285 285 285 285 285 285 285 285 285 285 285 285
Reserves 3,307 1,997 1,140 515 36 -648 1,307 214 -467 -1,563 -170 643 622
8,465 11,082 12,362 13,694 13,076 14,231 9,214 8,927 9,935 12,413 11,394 9,122 8,840
7,784 8,975 10,041 10,456 10,798 11,230 10,228 10,131 10,198 10,996 9,797 9,588 10,335
Total Liabilities 19,841 22,339 23,828 24,950 24,195 25,098 21,033 19,557 19,951 22,131 21,306 19,638 20,081
10,355 14,204 14,711 14,914 14,704 14,444 10,929 10,797 11,289 12,768 11,520 10,936 10,758
CWIP 2,038 1,149 771 653 638 800 751 520 361 349 493 852 1,058
Investments 844 753 1,322 1,758 1,768 1,837 2,434 1,250 1,491 1,563 2,233 1,565 1,753
6,603 6,234 7,024 7,625 7,086 8,017 6,920 6,990 6,809 7,451 7,060 6,284 6,512
Total Assets 19,841 22,339 23,828 24,950 24,195 25,098 21,033 19,557 19,951 22,131 21,306 19,638 20,081

Cash Flows

Consolidated Figures in Rs. Crores / View Standalone

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022
1,208 1,756 2,455 3,062 3,028 2,363 2,394 1,713 1,844 2,525 3,180 4,204
-1,308 -2,236 -2,481 -2,280 -1,908 -2,313 940 -500 -2,284 -1,521 -2,007 -894
548 53 320 -186 -1,388 -9 -3,276 -959 -28 -942 -1,205 -3,431
Net Cash Flow 447 -427 293 596 -268 41 58 254 -467 61 -32 -121

Ratios

Consolidated Figures in Rs. Crores / View Standalone

Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022
Debtor Days 58 66 67 56 46 61 54 64 66 69 56 56
Inventory Days
Days Payable
Cash Conversion Cycle 58 66 67 56 46 61 54 64 66 69 56 56
Working Capital Days -120 -65 -88 -88 -124 -93 -73 -86 -71 -94 -59 -56
ROCE % -1% 1% 2% 4% 8% 7% 23% 8% 8% 9% 18% 22%

Shareholding Pattern

Numbers in percentages

12 recently
Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021 Dec 2021 Mar 2022 Jun 2022 Sep 2022
74.99 74.99 74.99 74.99 74.99 58.86 58.86 58.86 58.86 58.86 58.86 58.86
17.67 17.48 17.19 17.56 17.65 24.40 24.03 23.45 21.57 19.38 17.88 17.02
1.48 1.52 1.53 1.48 1.40 7.53 7.36 7.63 8.85 11.49 12.93 13.89
0.27 0.27 0.27 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
5.60 5.75 6.03 5.98 5.97 9.21 9.75 10.06 10.72 10.26 10.33 10.22

* The XBRL reporting format changed from Sep'2022 onwards. The new format added details about banks and foreign portfolio investors. These were not available earlier.
The sudden increase in FII or DII might be because of these changes.

Please click on the line-items to see the names of individual entities.

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