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Tata Comms narrows losses to $110M for FY13
The communications solutions giant saw benefits from the streamlining of operations and cost management, and a one-off boost from the sale of an asset.
Tata Communications has narrowed its losses for its fourth quarter and full fiscal year for 2013, on the back higher revenue.
For the full year, it posted losses of 6.23 billion rupees (US$110 million), improving from the 7.84 billion rupees (US$139 million) the previous year, according to the company's Q4 2013 and FY13 earnings results.
Increased network and transmission expenses continued to be a drag on the bottomline. Expenses rose 22 percent to 151.5 billion rupees (US$2.69 billion). This was off set by a 21 percent rise in revenue to 172.12 billion rupees (US$3.185 billion).
In the three months ending March 31, the company significantly trimmed its losses to 52 million rupees (US$926,000)--from the loss of 2.6 billion rupees (S$48.3 million) booked in the corresponding period the previous year. This was also better than the 2 billion rupee (US$37.2 million) loss in the previous quarter.
This was helped by improved cost management and streamlining of operations, and the sale of an asset which helped provide a one-off boost of 1.8 billion rupees (US$32.5 million).
Vinod Kumar, managing director and Group CEO for Tata Communications said in a statement that the company will reap rewards from its FY13 investments in sales, marketing, and innovation.
"We have outpaced our peers and gained market share in almost every market segment and geography that we operate in. This is impressive given the economic and industry conditions that we operated under," Kumar said.