Tata Teleservices Ltd is engaged in the business of Wired and wireless telecommunication activities and holds a Unified License with Access Service Authorization in Maharashtra and Goa and also as in Internet Service Provider Category The co. is focused on providing various wireline voice, data, and managed telecom services. Presenting below are its Q2 FY26 earnings results.
Q2 FY26 Earnings Results
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Total Income: ₹286 crore, up 0.6% QoQ from ₹286.36 crore in Q1 FY26 but down 16.9 YoY from ₹345.03 crore in Q2 FY25.
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Total Expenses: ₹608 crore, up 6.2% QoQ from ₹139.55 crore due to higher network maintenance and employee cost; down 10% YoY reflecting cost streamlining measures.
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EBITDA: ₹139.8 crore, up 29% YoY from ₹108.1 crore in Q2 FY25 but marginally down QoQ from ₹144 crore, sustaining EBITDA margin of ~48.5%, among the highest in India’s telecom services space.
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Profit Before Tax (PBT): ₹(321.4) crore vs ₹(325.3) crore in Q1 FY26 and ₹(330.4) crore YoY—reflecting ongoing structural losses tied to finance costs and depreciation.
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Net Loss (PAT): ₹(321.4) crore, down 2.8% QoQ, continuing improvement from ₹(330.4) crore YoY.
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EPS: ₹-1.64 vs ₹-1.66 in Q1 FY26 and ₹-1.70 in Q2 FY25, highlighting steady reduction in losses per share.
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Operating Profit Margin: 37.7% vs 32.4% YoY, primarily driven by consistent enterprise services revenue and lower energy costs.
Segmental Overview
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Enterprise Business (B2B): Remained resilient, contributing over 85% of total revenues, driven by steady growth in IoT solutions, cybersecurity, and data connectivity services under the Tata Tele Business brand.
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Consumer Fixed-Line Services: Continued revenue decline due to migration of subscribers to mobility-based alternatives.
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Data Services: Witnessed volume growth but remained margin-neutral due to competitive pricing and network costs.
Management Commentary & Strategic Insights
Company statement (press summary):
“Despite a weak telecom market environment and suboptimal pricing, TTML continues to focus on its enterprise digital connectivity and cloud communication solutions to drive stability in income. Investments are being made in next-generation managed services, cybersecurity, and hybrid cloud capabilities through our Tata Tele Business platform.”.
Management Focus Areas:
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Improved service portfolio under Smart Internet Solutions and Managed Data Security Services targeted at MSMEs and SMEs across India.
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Continued reduction in operational expenditure, energy optimization, and gradual deleveraging through internal accruals.
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Exploring integration opportunities with group entities under Tata Communications and Tata Digital Ecosystem for long-term sustainability.
Market Update:
Stock traded near ₹55 (as of 23-Oct-2025), with a market cap of ₹10,758 crore. TTML remains loss-making, but strategic positioning in the enterprise digital segment is expected to support structural turnaround over the next 2–3 years.
Q1 FY26 Earnings Results
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Revenue: ₹286.36 crore.
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EBIT: ₹107.91 crore.
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Net Loss: ₹(324.98) crore.
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EPS: ₹-1.66.
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EBIT Margin: 37.68%, consistent with current quarter performance.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.