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

Exhibit 99.1

HQ/CS/CL.24B/15333

12 February 2014

Sir,

Sub: Un-audited Financial Results for the period ended 31 December 2013.

Pursuant to Clause 41 of the Equity Listing Agreement with Indian Stock Exchanges the following documents are submitted:

a) Un-audited Financial Results (Provisional, according to Indian GAAP) for the period ended 31 December 2013, which has been approved by the Board of Directors in their meeting, held on 12 February 2014.

b) Limited Review Report of the auditors on the unaudited financial results for the quarter ended 31 December 2013.

c) The press release in this regards is also attached.

Thanking you,

Yours faithfully,

For Tata Communications Limited

Satish Ranade

Company Secretary

To:

1) Security Code 500483, The Stock Exchange, Mumbai. Fax No.(22) 2272 2037,39,41

2) Security Code TATACOMM, The Asst. Manager (Listing), National Stock Exchange of India Limited. Fax Nos.: (22) 2659 8237,238, 347,348

3) National Securities Depository Ltd. Fax Nos.: 2497 2993.

4) The Bank of New York. Fax No.2204 4942.

5) Sharepro Services (India) Pvt. Ltd. Fax No. 2837 5646

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

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

Tata Communications Limited

Plot C 21 & C 36 ‘G’ Block BandraKurlaComplex, Mumbai 400098 India

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

Tel 91 22 6657 8765 Fax 91 22 6639 5162 website www.tatacommunications.com

TATA COMMUNICATIONS LIMITED

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

( in Lakhs)

A. STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 31, 2013

Part I

		Standalone
		For the quarter ended								For the nine months ended					For the year ended
	Particulars	December 31 2013		September 30 2013			December 31 2012			December 31 2013		December 31 2012			March 31 2013
		(unaudited)		(unaudited)			(unaudited)			(unaudited)		(unaudited)			(audited)
1	Income from Operations
	a. Revenue from Operations		115983		121923			108923			351971		326589			441612
	b. Other operating income		4235		—			—			4235		—			—
	c. Total Income from Operations (1a to 1b)		120218		121923			108923			356206		326589			441612
2	Expenses
	a. Network and transmission		45502		51893			47261			147316		150124			196320
	b. Employee benefit		16685		15588			14286			47903		48273			63946
	c. Depreciation and amortization		18573		19129			19701			56761		56450			76240
	d. Other		25137		24246			18808			70594		60918			81325
	e. Total Expenditure (2a to 2d)		105897		110856			100056			322574		315765			417831
3	Profit / (Loss) from Operations before Other Income, Finance costs and Exceptional Items (1 - 2)		14321		11067			8867			33632		10824			23781
4	Other Income		8066		12244			6452			26756		31183			38022
5	Profit / (Loss) from Ordinary Activities before Finance costs and Exceptional Items (3 + 4)		22387		23311			15319			60388		42007			61803
6	Finance Cost		1447		1577			3162			4610		9811			11969
7	Profit / (Loss) from Ordinary activities after Finance costs but before Exceptional Items (5 - 6)		20940		21734			12157			55778		32196			49834
8	Exceptional Items gain/(loss)		—		(13489	)		(2501	)		8133		(2501	)		15835
9	Profit / (Loss) from Ordinary Activities before Tax (7+8)		20940		8245			9656			63911		29695			65669
10	Tax Expense		6882		3565			2896			22002		9125			18145
11	Net Profit / (Loss) from Ordinary Activities after Tax (9 - 10)		14058		4680			6760			41909		20570			47524
12	Extraordinary Items (net of Tax Expense)		—		—			—			—		—			—

( in Lakhs)

A. STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 31, 2013

Part I

		Standalone
		For the quarter ended						For the nine months ended				For the year ended
	Particulars	December 31 2013		September 30 2013		December 31 2012		December 31 2013		December 31 2012		March 31 2013
		(unaudited)		(unaudited)		(unaudited)		(unaudited)		(unaudited)		(audited)
13	Net Profit/(Loss) for the period (11 - 12)		14058		4680		6760		41909		20570		47524
14	Paid up Equity Share Capital (Face value of 10 per share)		28500		28500		28500		28500		28500		28500
15	Paid up Debt Capital												77470
16	Reserves excluding Revaluation Reserve												702495
17	Debenture Redemption Reserve												35013
18	Earnings Per Share (EPS)		4.93		1.64		2.37		14.70		7.22		16.68
	Basic and diluted earnings per share before and after Extraordinary Items ( )

A. STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 31, 2013

Part II

	For the quarter ended									For the nine months ended						For the year ended
A) Particulars of Shareholding	December 31 2013			September 30 2013			December 31 2012			December 31 2013			December 31 2012			March 31 2013
1. Public shareholding
a. Number of shares		71266785			71266785			52155457			71266785			52155457			53803177
b. Percentage of shareholding		25.01	%		25.01	%		18.30	%		25.01	%		18.30	%		18.88	%
2. Promoters and Promoter Group Shareholding
a. Pledged / Encumbered
- Number of Shares		10000000			10000000			10000000			10000000			10000000			10000000
- Percentage of Shares (as a % of the total shareholding of promoters and promoter group)		4.68	%		4.68	%		4.61	%		4.68	%		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	%		3.51	%
b. Non-encumbered
- Number of Shares		203733215			203733215			207028873			203733215			207028873			207028873
- Percentage of Shares (as a % of the total shareholding of promoters and promoter group)		95.32	%		95.32	%		95.39	%		95.32	%		95.39	%		95.39	%
- Percentage of Shares (as a % of the total share capital of the Company)		71.48	%		71.48	%		72.64	%		71.48	%		72.64	%		72.64	%
3. Shares held by custodian and against which Depository Receipts have been issued-
(I) Promoters and promoters group		—			—			—			—			—			—
(II) Public		—			—			15815670			—			15815670			14167950

Particulars	Quarter ended on 31.12.2013
B) Investor complaints
Pending at the beginning of the quarter		Nil
Received during the quarter		0
Disposed off during the quarter		0
Remaining unresolved at the end of the quarter		Nil

( in Lakhs)

B. STATEMENT OF CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 31, 2013

Part I

		Consolidated
		For the quarter ended							For the nine months ended					For the year ended
	Particulars	December 31 2013		September 30 2013		December 31 2012			December 31 2013		December 31 2012			March 31 2013
		(unaudited)		(unaudited)		(unaudited)			(unaudited)		(unaudited)			(audited)
1	Income from Operations
	a. Revenue from Operations		495365		495261		443411			1440424		1281249			1721295
	b. Other operating income		4235		—		—			4235		—			—
	c. Total Income from Operations (1a to 1b)		499600		495261		443411			1444659		1281249			1721295
2	Expenses
	a. Network Costs		269210		270612		253036			789603		726098			978058
	b. Employee benefits		61675		58630		56823			180526		180660			241146
	c. Depreciation and Amortisation		52021		54311		54004			156704		159977			202705
	d. Other		87094		82381		73446			244116		217174			296120
	e. Total Expenditure (2a to 2d)		470000		465934		437309			1370949		1283909			1718029
3	Profit / (Loss) from Operations before Other Income, Finance costs and Exceptional Items (1 - 2)		29600		29327		6102			73710		(2660	)		3266
4	Other Income / (Expense), Net		2460		3934		4019			9030		18522			22659
5	Profit / (Loss) from Ordinary Activities before Finance costs and Exceptional Items (3 + 4)		32060		33261		10121			82740		15862			25925
6	Finance Costs		19756		20100		18883			56485		60633			79414
7	Profit / (Loss) from Ordinary Activities after Finance costs but before Exceptional Items (5 - 6)		12304		13161		(8762	)		26255		(44771	)		(53489	)
8	Exceptional Items gain/(loss)		—		—		(7914	)		21622		(7914	)		10418
9	Profit / (Loss) from Ordinary Activities before Tax (7+8)		12304		13161		(16676	)		47877		(52685	)		(43071	)
10	Tax Expense		8695		5112		4046			26791		11212			22020
11	Net Profit / (Loss) from Ordinary Activities after Tax (9 – 10)		3609		8049		(20722	)		21086		(63897	)		(65091	)
12	Extraordinary Items (net of Tax Expense)		—		—		—			—		—			—
13	Net Profit / (Loss) for the period (11 - 12)		3609		8049		(20722	)		21086		(63897	)		(65091	)

( in Lakhs)

B. STATEMENT OF CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 31, 2013

Part I

		Consolidated
		For the quarter ended									For the nine months ended						For the year ended
	Particulars	December 31 2013			September 30 2013			December 31 2012			December 31 2013			December 31 2012			March 31 2013
		(unaudited)			(unaudited)			(unaudited)			(unaudited)			(unaudited)			(audited)
14	Share in Profit / (Loss) of Associates		64			28			(36	)		167			(12	)		25
15	Minority Interest		(22	)		(41	)		657			(114	)		2098			2735
16	Net Profit / (Loss) after taxes, minority interest and share of profit/(loss) of associates (13+14+15)		3651			8036			(20101	)		21139			(61811	)		(62331	)
17	Paid up Equity Share Capital (Face value of 10 per share)		28500			28500			28500			28500			28500			28500
18	Reserves excluding Revaluation Reserve																	93340
19	Debenture Redemption Reserve																	35013
20	Earnings Per Share (EPS)		1.28			2.82			(7.05	)		7.42			(21.69	)		(21.87	)
	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 nine months ended						For the year ended
Particulars	December 31 2013			September 30 2013			December 31 2012			December 31 2013			December 31 2012			March 31 2013
	(unaudited)			(unaudited)			(unaudited)			(unaudited)			(unaudited)			(audited)
Income from Operations
Global Voice Solutions		27686			31986			26335			89528			88298			119311
Global Data and Managed Services		92532			89937			82588			266678			238291			322301
Total		120218			121923			108923			356206			326589			441612
Segment result
Global Voice Solutions		(2687	)		(3136	)		(5748	)		(9427	)		(13066	)		(14423	)
Global Data and Managed Services		73761			70986			66124			212053			183871			251273
Total		71074			67850			60376			202626			170805			236850
Less:
(i) Finance Cost		1447			1577			3162			4610			9811			11969
(ii) Other Unallocable Expenses (net)*		48687			58028			47558			134105			131299			159212
Profit / (Loss) before Taxes		20940			8245			9656			63911			29695			65669
*  Includes Exceptional Items gain/(loss)		—			(13489	)		(2501	)		8133			(2501	)		15835

D. Consolidated Business Segment Information:

											(in Lakhs)
	Consolidated
	For the quarter ended									For the nine months ended						For the year ended
Particulars	December 31 2013			September 30 2013			December 31 2012			December 31 2013			December 31 2012			March 31 2013
	(unaudited)			(unaudited)			(unaudited)			(unaudited)			(unaudited)			(audited)
Income from Operations
Global Voice Solutions		242883			242904			221427			708094			637651			856469
Global Data and Managed Services		204754			198968			173888			583299			500711			675343
South Africa Operations		51833			53194			47877			152766			142138			188548
Others		130			195			219			500			749			935
Total		499600			495261			443411			1444659			1281249			1721295
Segment result
Global Voice Solutions		38689			42907			35330			122165			103312			140359
Global Data and Managed Services		133761			128118			110383			374266			323699			431205
South Africa Operations		14562			9718			227			30092			2976			5148
Others		(395	)		(187	)		(506	)		(759	)		(900	)		(3544	)
Total		186617			180556			145434			525764			429087			573168
Less:
(i) Finance Costs		19756			20100			18883			56485			60633			79414
(ii) Other Unallocable Expenses (net)*		154557			147295			143227			421402			421139			536825
Profit / (Loss) before Taxes		12304			13161			(16676	)		47877			(52685	)		(43071	)
*  Includes Exceptional Items gain/(loss)		—			—			(7914	)		21622			(7914	)		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 centers, 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 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.

Notes:

1. The above standalone and consolidated results of the Company for the quarter and nine months ended December 31, 2013 have been subjected to a limited review by the statutory auditors, recommended by the audit committee and taken on record and approved by the Board of Directors at their meeting held on February 12, 2014.

2. Other Income includes:

Foreign Exchange Fluctuation

									( in Lakhs)
	For the quarter ended								For the nine months ended						For the year ended
Net foreign exchange gain/(loss)	December 2013			September 2013		December 2012			December 2013			December 2012			March 2013
	(unaudited)			(unaudited)		(unaudited)			(unaudited)			(unaudited)			(audited)
- Standalone		365			735		21			(191	)		1095			1543
- Consolidated		(1605	)		212		(232	)		(2950	)		(286	)		(1448	)

3. Other operating income in the standalone and consolidated financial statements for the quarter and nine months ended December 31, 2013, comprises an amount of4235 lakhs towards export benefits received.

4. Network costs in the consolidated financial statements for the quarter and nine months ended December 31, 2013 is net of write back amounting to  3371 lakhs in respect of earlier years with respect to Neotel.

5. During the quarter ended September 30, 2013, VSNL SNOSPV Pte Ltd (SNOSPV), a wholly owned subsidiary of Tata Communications Limited, has entered into exclusive discussions with Vodacom Group Limited (Vodacom) to sell all of the issued share capital of Neotel, held directly or indirectly by SNOSPV. Discussions with Vodacom are in progress.

6. Results include exceptional items:

a. For the quarter ended September 30, 2013 and nine months ended December 31, 2013, in respect of the standalone financial statements amounting to  13489 lakhs relating to the provision towards diminution in carrying amount of investments and advances in Neotel.

b. For the nine months ended December 31, 2013, in respect of the standalone and consolidated financial statements, an amount of  21622 lakhs towards Input credits against certain statutory obligations relating to earlier periods that have been accounted for during the quarter ended June 30, 2013 on crystallization of the entitlements to such credits.

c. For the quarter and nine months ended December 31, 2012, in respect of the standalone and consolidated financial statements, employee cost optimization expenses amounting to  2501 lakhs and  7914 lakhs respectively.

d. For the financial year ended March 31, 2013, in respect of the standalone financial statements, Employee cost optimization expenses amounting to  3127 lakhs and gain on sale of fixed asset of  18962 lakhs and in respect of consolidated financials, employee cost optimization expenses amounting to  8544 lakhs and gain on sale of fixed asset of  18962 lakhs.

7. During the year 2013, the Company had approached the Bombay High Court for approval of the proposed “Scheme of Arrangement” (“the Scheme”) between the Company and S&A Internet Services Private Limited (“the Subsidiary Company”), for transfer of the IDC division (Colocation Service division of the Company) on a going concern basis to the Subsidiary Company. Pending approval of the Bombay High Court, these financial results do not include any adjustments that may arise on implementation of the Scheme.

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:	February 12, 2014