Tata Communications Q3 Review - Seasonality, Slower Deal Conversions Impact Earnings: Motilal Oswal
Signage for Tata Group is displayed atop of the Tata Communication Ltd. office building in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

Tata Communications Q3 Review - Seasonality, Slower Deal Conversions Impact Earnings: Motilal Oswal

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Tata Communications Ltd.’s Q3 FY21 revenue/Ebitda was a miss due to lower-than-expected earnings reported in both the data and voice segments – due to seasonality and slower deal conversions.

However, excluding a one-time cost benefit from Q2 FY21, the Ebitda miss stands at 5.9% (versus 9.5% on total Ebitda).

We reduce our revenue/Ebitda estimates for FY21 by 3%/4% and for FY22 by 7%/5% due to lower-than-expected earnings and slower deal conversions.

Click on the attachment to read the full report:

Motilal Oswal Tata Comunications Q3FY21 Result Update.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.