Tata Communications is ringing a good tune today morning. It opened flattish at Rs.403.15 but soon jumped up to the day’s high point at Rs.417.50 and currently remains at the same level, up 4%. Volumes have risen over two times.

The stock is reacting positively to its Q2FY15 performance declared on 1^st Nov. The company posted a consolidated net profit at Rs.93 crore v/s a net loss of Rs.21 crore in Q1. This turnaround can be attributed to some extent to operational performance but it was more on account of a hefty other income component at Rs.163 crore. This was the interest it earned on the tax refund. Otherwise net revenue earned was flat at Rs.5071 crore compared to Rs.5112 crore in Q1. EBITDA for the quarter came in at R.759 crore, up 6% while EBITDA margins rose from 14% to 15%.