Shares of Tata Communications rallied over 5% on Tuesday to hit a nine-year high on BSE, after the company reported a standalone net profit of Rs 1,413 crore for the quarter ended December 2016 as compared to a net loss of Rs 11.58 for the corresponding quarter in 2015, thanks to additional income from the sale of its data centre. The stock opened in the green on BSE and hit a 52-week high to Rs 713.00. Volumes rose after the stock price started rising; compared with three months average volume of 7.8 lakh shares, it increased over 4.5 times to 35 lakh shares.
Contributions from exceptional one-time gain from the stake sale of the India data centre Rs 2,138 crore that was offset by the impairment Rs 250 crore on account of the South African subsidiary, Neotel, the company said in a statement.
Gross revenue of the company decreased by 4.5% to Rs 4,872 crore on a year-on-year (y-o-y) basis and earnings before interest, tax, depreciation and amortization (EBITDA) stood at Rs 722 crore registering a y-o-y drop of 3.7%.
Trent soars 17.5%
Meanwhile, shares of Tata Group firm Trent zoomed 17.5% after the company reported a 14% rise in standalone net profit for the third quarter ended December 31, 2016. The stock skyrocketed 17.53% to end at Rs 247.05 on BSE. During the day, it soared 19.98 per cent to Rs 252.20. On NSE, shares of the company advanced by 17% to close at Rs 245.90.