1. Financial Results

The Board approved the un-audited financial results for the quarter ended June 30, 2026 (Q1 FY27), prepared in accordance with Indian Accounting Standards. M/s. Price Waterhouse Chartered Accountants LLP, Statutory Auditors of the Company, issued a Limited Review Report with an unmodified opinion on these financial results.

Key Financial Figures (Q1 FY27):

  • Revenue from operations: ₹301.57 crore
  • Other income: ₹2.33 crore
  • Total Income: ₹303.90 crore
  • Employee benefits expenses: ₹23.08 crore
  • Operating and other expenses: ₹115.92 crore
  • EBITDA: ₹164.90 crore
  • Depreciation and amortization expense: ₹33.27 crore
  • Finance costs: ₹206.09 crore
  • Finance income: ₹1.06 crore
  • Net gain on investments: ₹1.25 crore
  • Loss before exceptional items and tax: ₹72.15 crore
  • Loss after tax: ₹72.15 crore
  • Paid-up equity share capital: ₹1,954.93 crore (face value ₹10 each)
  • Basic and diluted loss per equity share: ₹0.37
  • Interest service coverage ratio: 1.05 times
  • EBITDA/Interest Expenses: 42.88%
  • Operating profit margin: -23.92%
  • Net loss margin: -23.92%

Comparative Figures:

  • Q1 FY26 revenue from operations: ₹295.54 crore
  • Q1 FY26 loss after tax: ₹580.93 crore (included exceptional items)
  • Q4 FY26 revenue from operations: ₹284.25 crore
  • Q4 FY26 loss after tax: ₹324.98 crore

2. Extension of Term of Redemption of Redeemable Preference Shares

The Board approved a further extension of the redemption term until October 17, 2036, for 20,18,00,000 - 0.1% Non-Cumulative Non-Convertible Redeemable Preference Shares of ₹100 each, aggregating to ₹2,018 crore. These shares were issued to Tata Teleservices Limited (the Holding Company) on October 18, 2016. The extension is subject to obtaining requisite consents/approvals, if applicable.

3. Appointment of Senior Management Personnel

Based on the recommendations of the Nomination and Remuneration Committee, Mr. Kushalraj Sonigda, Company Secretary of Tata Teleservices Limited (the Holding Company), was appointed as Senior Management Personnel of TTML effective July 22, 2026. His term will continue until cessation of employment with the Holding Company.

Profile of Mr. Kushalraj Sonigda:

  • Corporate law and governance professional with over 13 years of experience
  • Previously held senior positions at Ernst & Young, JM Financial Group, and other listed companies
  • Expertise in Companies Act, SEBI Regulations, FEMA, and Insider Trading Regulations
  • Qualified Company Secretary from India & UK, completed master's in law from Maharashtra National Law School
  • No shareholding in TTML

4. Appointment of Statutory Auditors

Based on the recommendations of the Audit Committee, the Board recommended the appointment of M/s T. P. Ostwal & Associates LLP, Chartered Accountants (ICAI Firm Registration No. 124444W/W100150), as Statutory Auditors for a term of 5 consecutive years from the conclusion of the 32nd Annual General Meeting (AGM) in 2027 until the conclusion of the 37th AGM in 2032. This is subject to approval by members and other statutory requirements, including auditor independence requirements.

M/s Price Waterhouse Chartered Accountants LLP will continue as Statutory Auditors until the conclusion of the 32nd AGM in 2027, completing their second term.

Profile of T. P. Ostwal & Associates LLP:

  • Originally constituted as Butala Associates in 1984
  • Head office in Mumbai with 10 partners, branch office in Gurgaon
  • Planning network firms in Bangalore and Hyderabad
  • Holds valid peer review certificate

Notes to Financial Results:

Note 1: Going Concern

The accumulated losses as of June 30, 2026, have exceeded paid-up capital and reserves. The company incurred a net loss for Q1 FY27, and current liabilities exceeded current assets. TTML has obtained a support letter from its ultimate holding company indicating it will take necessary financial actions to organize for any liquidity shortfall during the 12 months from the balance sheet date. Based on this support, the financial results have been prepared on a going concern basis.

Note 2: Exceptional Items

(a) Received a demand of ₹3.80 crore from DoT pertaining to legacy mobility subscribers for FY 2007-08 to FY 2011-12, provided in books during Q1 FY25 and FY26.

(b) Impact of New Labour Codes: The Government consolidated 29 labour legislations into four Labour Codes effective November 21, 2025. The company assessed incremental impact comprising gratuity cost of ₹3.98 crore and leave encashment cost of ₹0.07 crore for FY26, primarily from changes in wage definition. This non-recurring impact was disclosed under exceptional items.

(c) AGR Liability: The Supreme Court upheld DoT's AGR interpretation on October 24, 2019, finalizing Tata Group dues at ₹16,798 crore up to FY 2016-17. Following the government's telecom relief package, the company availed a four-year moratorium. During FY 2025-26, DoT communicated final AGR liability up to FY 2018-19, resulting in a write-back of provision amounting to ₹666.70 crore (with corresponding additional provision in TTSL). The company paid the first AGR installment of ₹652.99 crore on March 30, 2026, and filed compliance affidavit with the Supreme Court.

(d) Recognized expenses of ₹3.90 crore on vendor reconciliation in relation to Consumer Mobility Business demerged in 2019.

Note 3: Asset Useful Life Revision

During FY26, the company reassessed useful life of certain network assets from 18 years to 25 years based on internal assessment and technical evaluation, reducing depreciation charge.

Note 4: Commercial Paper Disclosures

The company has listed Commercial Papers on NSE. Key ratios as of June 30, 2026:

  • Debt service coverage ratio: 0.03 times
  • Debt Equity ratio: (1.03) times
  • Networth: (₹20,055.53) crore
  • Outstanding Redeemable Preference Shares: 201,800,000 shares valued at ₹1,980.50 crore
  • Current ratio: 0.46 times
  • Long term debt to working capital: (10.74) times
  • Bad debts to Account receivable ratio: 1.49%
  • Current liability ratio: 0.02 times
  • Total debts to total assets: 14.94 times
  • Debtors turnover: 18 days

Commercial Paper details:

  • Outstanding as of June 30, 2026: ₹1,425 crore (at maturity value)
  • ISIN INE517B14AJ7: ₹575.00 crore, due September 8, 2026
  • ISIN INE517B14AG3: ₹850.00 crore, due November 17, 2026
  • All Commercial Papers repaid on respective due dates during the quarter

Note 5: Segment Reporting

The company operates in a single reportable segment of telecommunication services under Unified License.

Note 6: Approval

The financial results were reviewed by the Audit Committee and approved by the Board on July 22, 2026.

Note 7: Comparative Figures

Figures for Q4 FY26 are balancing figures between audited FY26 figures and published unaudited YTD figures up to Q3 FY26.

The documents are available on the company website: https://www.tatatelebusiness.com/financial-results/.