Tata Communications (VSL) 6-K Current report (foreign)

Exhibit 99.1

HQ/CS/CL.24B/15126

28 May 2013

Sir,

Sub: Information regarding Audited Financial Results for the Financial Year ended 31 March 2013 and Recommendation of Dividend.

Pursuant to clause 41 of the listing agreement with Indian Stock Exchanges, please find sent herewith the Audited Financial Results for the Financial Year ended 31 March 2013 according to Indian GAAP, which have been considered by the Board of Directors at their meeting held on 28 May 2013 (Attachment “A”).

2. The Board of Directors have recommended a dividend of Rupees 3/- (Three) per share for the Financial Year 2012-13.

Thanking you,

Yours faithfully,

For Tata Communications Limited

Satish Ranade

Company Secretary & Chief Legal Officer

To:

1) Security Code 23624, The Stock Exchange, Mumbai. Fax No.(22) 22722037,39,41

2) Security Code 5251, The Asst. Manager (Listing), National Stock Exchange of India Limited. Fax Nos.: (22) 26598237/38.

3) National Securities Depository Ltd. Fax Nos. : 2497 29 93.

4) The Bank of New York. Fax No.2204 49 42.

5) Sharepro Services. Fax No. 2837 5646

6) Marc H. Iyeki, Director, New York Stock Exchange, Fax No: (212) 656-5071 /72 / Managing Director, New York Stock Exchange, Fax No: (212) 265-2016

7) Central Depository Services (India) Limited. Fax : 2267 3199.

Tata Communications Limited

Plot C 21 & C 36 ‘G’ Block Bandra Kurla Complex, Mumbai 400 098 India

Regd. Office : VSB, Mahatma Gandhi Road, Fort, Mumbai – 400 001 India

Tel 91 22 6657 8765 Fax 91 22 6725 1962 website www.tatacommunications.com

TATA COMMUNICATIONS LIMITED

REGD. OFFICE: VSB, M.G. ROAD, FORT, MUMBAI-400001.

( in Lakhs)

A. STATEMENT OF AUDITED STANDALONE FINANCIAL RESULTS FOR THE FINANCIAL YEAR ENDED MARCH 31, 2013

Part I

		Standalone
		For the quarter ended							For the year ended
	Particulars	March 31 2013			December 31 2012		March 31 2012		March 31 2013			March 31 2012
		(audited) (Refer note  2)			(unaudited)		(audited) (Refer note  2)		(audited)			(audited)
1	Income from Operations		115023			108923		110064		441612			409177
2	Expenses
	a. Network and transmission		46196			47261		48513		196320			173650
	b. Employee benefit		15673			14286		17362		63946			62224
	c. Depreciation and amortization		19790			19701		19456		76240			70708
	d. Other		20407			18808		20450		81325			74506
	e. Total Expenditure (2a to 2d)		102066			100056		105781		417831			381088
3	Profit / (Loss) from Operations before Other Income, Finance costs and Exceptional Items (1 - 2)		12957			8867		4283		23781			28089
4	Other Income		6839			6452		5878		38022			17910
5	Profit / (Loss) from Ordinary Activities before Finance costs and Exceptional Items (3 + 4)		19796			15319		10161		61803			45999
6	Finance Cost		2158			3162		4010		11969			19487
7	Profit / (Loss) from Ordinary activities after Finance costs but before Exceptional Items (5 - 6)		17638			12157		6151		49834			26512
8	Exceptional Items loss/(gain)		(18336	)		2501		—		(15835	)		—
9	Profit / (Loss) from Ordinary Activities before Tax (7 - 8)		35974			9656		6151		65669			26512
10	Tax Expense		9019			2896		2331		18145			9378
11	Net Profit / (Loss) from Ordinary Activities after Tax (9 - 10)		26955			6760		3820		47524			17134
12	Extraordinary Items (net of Tax Expense)		—			—		—		—			—
13	Net Profit/(Loss) for the period (11 - 12)		26955			6760		3820		47524			17134
14	Paid up Equity Share Capital (Face value of 10 per share)		28500			28500		28500		28500			28500
15	Paid up Debt Capital									77470			135729
16	Reserves excluding Revaluation Reserve									702495			664505
17	Debenture Redemption Reserve									35013			73074
18	Earnings Per Share (EPS)		9.46			2.37		1.34		16.68			6.01
	Basic and diluted earnings per share before and after Extraordinary Items ( )
19	Debt Equity Ratio									0.10			0.19
20	Debt Service Coverage Ratio (DSCR)#									1.90			1.16
21	Interest Service Coverage Ratio (ISCR)##									11.55			5.97

# DSCR = (profit from ordinary activities before tax and exceptional Items + depreciation + interest on long-term loans)/(interest on long-term loans + repayment of long-term loans during the year)*

## ISCR = (profit from ordinary activities before Tax and exceptional Items + depreciation + interest on long-term loans)/interest on long-term loans*

* Loans having original maturity of more than 360 days are considered as long-term loans.

A. STATEMENT OF AUDITED STANDALONE FINANCIAL RESULTS FOR THE FINANCIAL YEAR ENDED MARCH 31, 2013

Part II

	For the quarter ended									For the year ended
A) Particulars of Shareholding	March 31 2013			December 31 2012			March 31 2012			March 13 2013			March 31 2012
1. Public shareholding a. Number of shares		53803177			52155457			50411507			53803177			50411507
b. Percentage of shareholding		18.88	%		18.30	%		17.69	%		18.88	%		17.69	%
2. Promoters and Promoter Group Shareholding
a. Pledged / Encumbered - Number of Shares		10000000			10000000			10000000			10000000			10000000
- Percentage of Shares (as a % of the total shareholding of promoters and promoter group)		4.61	%		4.61	%		4.61	%		4.61	%		4.61	%
- Percentage of Shares (as a % of the total share capital of the Company)		3.51	%		3.51	%		3.51	%		3.51	%		3.51	%
b. Non-encumbered - Number of Shares		207028873			207028873			207028873			207028873			207028873
- Percentage of Shares (as a % of the total shareholding of promoters and promoter group)		95.39	%		95.39	%		95.39	%		95.39	%		95.39	%
- Percentage of Shares (as a % of the total share capital of the Company)		72.64	%		72.64	%		72.64	%		72.64	%		72.64	%
3. Shares held by custodian and against which Depository Receipts have been issued-
(I) Promoters and promoters group		—			—			—			—			—
(II) Public		14167950			15815670			17559620			14167950			17559620

Particulars	Quarter ended on 31.03.2013
B) Investor complaints
Pending at the beginning of the quarter		Nil
Received during the quarter		3
Resolved during the quarter		3
Remaining unresolved at the end of the quarter		Nil

( in Lakhs)

B. STATEMENT OF AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE FINANCIAL YEAR ENDED MARCH 31, 2013

Part I

		Consolidated
		For the quarter ended									For the year ended
		March 31 2013			December 31 2012			March  31 2012			March 31 2013			March 31 2012
	Particulars	(audited) (Refer note  2)			(unaudited)			(audited) (Refer note  2)			(audited)			(audited)
1	Income from Operations		440046			443411			396128			1721295			1419605
2	Expenses
	a. Network Costs		248925			249464			216099			965633			789361
	b. Employee benefits		60486			56823			62873			241146			211991
	c. Depreciation and Amortization		42728			54004			49278			202705			182004
	d. Other		81981			77018			68628			308545			239104
	e. Total Expenditure (2a to 2d)		434120			437309			396878			1718029			1422460
3	Profit / (Loss) from Operations before Other Income, Finance costs and Exceptional Items (1 - 2)		5926			6102			(750	)		3266			(2855	)
4	Other Income / (Expense), Net		4137			4019			5404			22659			14480
5	Profit / (Loss) from Ordinary Activities before Finance costs and Exceptional Items (3 + 4)		10063			10121			4654			25925			11625
6	Finance Costs		18781			18883			18581			79414			83427
7	Profit / (Loss) from Ordinary Activities after Finance costs but before Exceptional Items (5 - 6)		(8718	)		(8762	)		(13927	)		(53489	)		(71802	)
8	Exceptional Items loss/(gain)		(18332	)		7914			—			(10418	)		—
9	Profit / (Loss) from Ordinary Activities before Tax (7-8)		9614			(16676	)		(13927	)		(43071	)		(71802	)
10	Tax Expense		10808			4046			131			22020			6595
11	Net Profit / (Loss) from Ordinary Activities after Tax (9 – 10)		(1194	)		(20722	)		(14058	)		(65091	)		(78397	)
12	Extraordinary Items (net of Tax Expense)		—			—			—			—			—
13	Net Profit / (Loss) for the period (11 - 12)		(1194	)		(20722	)		(14058	)		(65091	)		(78397	)
14	Share in Profit / (Loss) of Associates		37			(36	)		92			25			(418	)
15	Minority Interest		637			657			(12128	)		2735			(650	)
16	Net Profit / (Loss) after taxes, minority interest and share of profit/(loss) of associates (13+14+15)		(520	)		(20101	)		(26094	)		(62331	)		(79465	)
17	Paid up Equity Share Capital (Face value of 10 per share)		28500			28500			28500			28500			28500
18	Reserves excluding Revaluation Reserve											93510			179038
19	Debenture Redemption Reserve											35013			73074
20	Earnings Per Share (EPS)		(0.18	)		(7.05	)		(9.16	)		(21.87	)		(27.88	)
	Basic and diluted earnings per share before and after Extraordinary Items ( )

C. Standalone Business Segment Information:

( in Lakhs)

	Standalone
	For the quarter ended								For the year ended
	March 31 2013			December 31 2012			March 31 2012		March 31 2013			March 31 2012
Particulars	(audited) (Refer note  2)			(unaudited)			(audited) (Refer note  2)		(audited)			(audited)
Income from Operations
Global Voice Solutions		31013			26335			34165		119311			127142
Global Data and Managed Services		84010			82588			75899		322301			282035
Total		115023			108923			110064		441612			409177
Segment result
Global Voice Solutions		(1357	)		(5748	)		667		(14423	)		8750
Global Data and Managed Services		67403			66124			61007		251273			218981
Total		66046			60376			61674		236850			227731
Less :
(i) Finance Cost		2158			3162			4010		11969			19487
(ii) Other Unallocable Expenses (net)		*27914			**47558			51513		***159212			181732
Profit / (Loss) before Taxes		35974			9656			6151		65669			26512

* Includes Exceptional Items (18336)

** Includes Exceptional Items 2501

*** Includes Exceptional Items (15835)

D. Consolidated Business Segment Information:

( in Lakhs)

	Consolidated
	For the quarter ended									For the year ended
	March 31 2013			December 31 2012			March 31 2012			March 31 2013			March 31 2012
Particulars	(audited) (Refer note  2)			(unaudited)			(audited) (Refer note  2)			(audited)			(audited)
Income from Operations
Global Voice Solutions		218818			221427			189643			856469			681180
Global Data and Managed Services		174632			173888			161263			675343			564616
South Africa Operations		46410			47877			44704			188548			172378
Others		186			219			518			935			1431
Total		440046			443411			396128			1721295			1419605
Segment result
Global Voice Solutions		37047			35330			33011			140359			117745
Global Data and Managed Services		120355			121932			117906			473782			413917
South Africa Operations		2172			227			(520	)		5148			(17747	)
Others		(2644	)		(506	)		(273	)		(3544	)		(1587	)
Total		156930			156983			150124			615745			512328
Less :
(i) Finance Costs		18781			18883			18581			79414			83427
(ii) Other Unallocable Expenses (net)		*128535			**154776			145470			***579402			500703
Profit / (Loss) before Taxes		9614			(16676	)		(13927	)		(43071	)		(71802	)

* Includes Exceptional items (18332)

** Includes Exceptional items 7914

*** Includes Exceptional items (10418)

Notes to Segments:

The Company’s reportable business segments are Global Voice Solutions (GVS), Global Data and Managed Services (GDMS), South Africa Operations and others. The composition of the reportable segments is as follows:

GVS includes International and National Long Distance Voice services.

GDMS includes Corporate Data Transmission services, data center, virtual private network signalling and roaming services, television and other network and managed services.

South Africa Operations are carried out by the Company’s subsidiary Neotel Pty Ltd. and comprise wholesale international voice and data transit, enterprise business solution services for the wholesale and corporate market, telephony and data services for retail customers in South Africa.

Others primarily comprise a Joint venture business.

Revenues and interconnect charges are directly attributable to the segments. Space segment utilization charges, rent of landlines and other network and transmission costs are allocated based on utilization of satellite and landlines. License fee for GVS and GDMS have been allocated based on net adjusted gross revenues from these services. Segment result is segment revenues less segment expenses. Certain costs including depreciation which are not allocable to GVS and GDMS have been classified as “Other Unallocable Expenses (net)”.

Telecommunication services are provided utilizing the Company’s assets which do not generally make a distinction between the types of services. As a result, fixed assets are used interchangeably between segments. In the absence of a meaningful basis to allocate assets and liabilities between segments, no allocation has been made.

E. Statement of Standalone Assets and Liabilities as at March 31 2013

( in Lakhs)        

Particulars	Standalone
	As at March 2013		As at March 2012
A EQUITY AND LIABILITIES
1. Shareholders’ funds
(a) Share Capital		28500		28500
(b) Reserves and Surplus		723142		685197
Sub-total - Shareholders’ funds		751642		713697
2. Non-current liabilities
(a) Long-term borrowings		62500		82500
(b) Deferred tax liabilities (Net)		—		1642
(c) Other Long term liabilities		39156		38408
(d) Long-term provisions		12216		12768
Sub-total - Non-current liabilities		113872		135318
3. Current liabilities
(a) Short-term borrowings		14970		12583
(b) Trade payables		124830		120214
(c) Other current liabilities		53717		95269
(d) Short-term provisions		11052		8530
Sub-total - Current liabilities		204569		236596
TOTAL - EQUITY AND LIABILITIES		1070083		1085611
B ASSETS
1. Non-current assets
(a) Fixed assets
(i) Tangible assets		469491		466110
(ii) Intangible assets		13854		9090
(iii) Capital work-in-progress		17466		30334
(b) Non-current investments		203051		178827
(c) Deferred tax assets		871		—
(d) Long-term loans and advances		168302		276194
(e) Other non-current assets		808		808
Sub-total - Non-current assets		873843		961363
2. Current assets
(a) Current investments		46241		—
(b) Inventories - Stores and Spares		420		45
(c) Trade receivables		86102		84577
(d) Cash and Bank Balances		32862		5332
(e) Short-term loans and advances		28585		31831
(f) Other current assets		2030		2463
Sub-total - Current assets		196240		124248
TOTAL - ASSETS		1070083		1085611

Note:

Previous year figures have been recast/ restated to conform to the classification of the current period.

Notes:

1. The above Standalone and Consolidated results of the Company for the financial year ended March 31, 2013 which have been reviewed by the audit committee and audited by the statutory auditors were taken on record and approved by the Board of Directors at their meeting held on May 28, 2013.

2. The figures of the last quarter are the balancing figures between the audited figures in respect of the full financial year and the published year to date figures up to the third quarter of the current financial year.

3. The Board of Directors at its meeting held on May 28, 2013, proposed a dividend of 3 (Previous year 2) per equity share.

4. During the year 2013, the Company has submitted to the Bombay and the National Stock Exchange the proposed “Scheme of Arrangement” between the Company and the S&A Internet Services Private Limited (“the Subsidiary Company”), for transfer of the IDC division (Colocation Service division of the Company) on going concern basis to the Subsidiary Company. The Scheme has been approved by the Board of Directors of the Company at its meeting held on 1 March 2013, and is subject to the approval of the shareholders and the Bombay High Court. The financial results do not include any adjustments that may arise on implementation of the Scheme.

5. Other Income includes:

Foreign exchange fluctuation

( in Lakhs)

(Net foreign exchange (gain)/loss	For the quarter ended					For the year ended
	March 31 2013		December 31 2012	March 31 2012		March 31 2013		March 31 2012
	(audited) (Refer note  2)		(unaudited)	(audited) (Refer note  2)		(audited)		(audited)
- Standalone		(448)	(21)		(1871)		(1543)		(2696)
- Consolidated		1162	232		(3783)		1448		(3406)

6. During the fiscal year, the Company has reassessed the economic useful life of certain fixed assets which has resulted in net reduction in depreciation expenses of 35 lakhs for the quarter and year ended March 31, 2013 in its standalone financials and  12862 lakhs for the quarter ended March 31, 2013 and 15900 lakhs (Previous year - Nil) for the year ended March 31, 2013 in its consolidated financials.

7. Standalone results for the quarter and the financial year ended March 31, 2013 include exceptional items towards employee cost optimization expenses amounting to 626 lakhs and 3127 lakhs (Previous year - Nil) respectively and gain on sale of fixed asset of 18962 lakhs (Previous year - Nil).

Consolidated results for the quarter and the financial year ended March 31, 2013 include exceptional items towards employee cost optimization expenses amounting to 630 lakhs and 8544 lakhs (Previous year - Nil) respectively and gain on sale of fixed asset of 18962 lakhs (Previous year - Nil).

8. The previous period’s figures have been rearranged wherever necessary to make them comparable with the current period’s figures.

For TATA COMMUNICATIONS LIMITED

VINOD KUMAR

MANAGING DIRECTOR &

GROUP CEO

Place : Mumbai.

Date : May 28, 2013