Tata Communications shares slumped over 10 per cent after the company on Tuesday posted a decline in consolidated net profit by 79.8 per cent at Rs 21.89 crore in the quarter ended December 31, 2015. The company had reported a net profit of Rs 108.53 crore in the same period a year ago.
At 9.50 am, Tata Communications shares were trading 6.50 per cent at Rs 378.25. The scrip opened at Rs 400 and has touched a high and low of Rs 400 and 363.30, respectively, in trade so far. Later, the scrip settled 5.76 per cent down at Rs 381.25.
So far, around 0.80 lakh shares of Tata Communications exchanged hands on the BSE as compared with two-week average daily volume of 0.41 lakh shares.
The promoters holding in the company stood at 74.99 per cent while public holding was held 25.01 per cent.
The consolidated total income of the company increased 3.7 per cent to Rs 5,099.5 crore during the quarter under review from Rs 4,914.51 crore in the corresponding period of 2014-15.
The revenue of Tata Communications from voice solutions declined by about 5 per cent to Rs 2,009.54 crore from Rs 2,114.14 crore while that of data and managed services segment increased 16.7 per cent to Rs 2,723.3 crore from Rs 2,332.67 crore during the October-December quarter.
Global voice segment continues to be adversely impacted by structural industry-level headwinds namely the growing acceptance of Voice over Internet Protocol (VoIP) delivered by over the top carriers (OTTs) coupled with a steep decline in tariffs, the company said.