Tata Teleservices Q4 FY26 Results: Reports ₹581 Crore Profit Against Last Year’s Loss

Tata Teleservices (Maharashtra) Ltd (TTML) delivered a turnaround quarter in Q4 FY26, swinging to a profit from losses on both yearly and sequential bases, though the recovery was largely driven by one-off gains rather than core operations.

Standalone net profit stood at ₹580.93 crore, against a net loss of ₹306.42 crore in Q4 FY25 and a loss of ₹150 crore in the preceding December quarter. The sharp improvement was aided by exceptional items worth ₹662.80 crore.

Excluding these, loss before exceptional items and tax narrowed to ₹81.87 crore, compared with a loss of ₹306.42 crore in Q4 FY25. Revenue from operations declined 4.13% year-on-year to ₹295.54 crore, while total income for the quarter stood at ₹297.28 crore versus ₹310.21 crore a year ago.

Tata Teleservices shares ended 2.14% higher at ₹45.28 on the National Stock Exchange (NSE) on Thursday.

Important Q4 Numbers At A Glance

• PAT (Q4): ₹581 crore vs a loss of ₹306 crore year-on-year (YoY).

• Total Income (Q4): ₹297.28 crore, down from ₹310.21 crore YoY.

• Earnings before interest, taxes, depreciation, and amortisation (EBITDA) (Q4): ₹163 crore, up 7% YoY.

• Operating Profit Margin (Q4): 43.74% vs 34.98% YoY.

Operating Performance

At the operating level, EBITDA rose 7.19% year-on-year to ₹162.74 crore, while operating profit margin expanded to 43.74% from 34.98%, helped by tighter cost control and better operating leverage. Total expenses fell to ₹134 crore from ₹158 crore a year earlier, driven by lower operating and other costs. Employee expenses stayed broadly stable at ₹21 crore.

Finance costs eased sharply to ₹215 crore from ₹419 crore in the year-ago quarter, but the debt overhang continues to weigh on the profit & loss. The interest coverage ratio stood at 0.97, still below 1, indicating that operating profits fell short of covering interest obligations.

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Full-Year Performance

For FY26, the company's consolidated net loss narrowed to ₹215.30 crore, compared with a loss of ₹1,275.32 crore in FY25. Revenue from operations slipped 11.3% year-on-year to ₹1,160.23 crore, reflecting continued pressure on the top line even as lower finance costs and better margins helped shrink the bottom-line hit.

Sources:

Economic Times

Business Standard