TCS shares jump 6% after better-than-expected Q1 earnings

The country’s largest software exporter yesterday posted 23.4% rise in consolidated net profit to Rs 7,340 crore for the first quarter ended June 30, 2018.

business Updated: Jul 11, 2018 15:10 IST

Rajesh Gopinathan, CEO and managing director of Tata Consultancy Services (TCS) speaks during a press conference announcing the Q1 financial results in Mumbai on July 10, 2018. TCS reported a 24% rise in quarterly earnings thanks to strong growth in its banking and financial services division. (AFP Photo)

Shares of Tata Consultancy Services rose almost 6% on Wednesday, after the company posted better-than-expected earnings.

The stock after making a positive opening further jumped to trade at Rs 1983 at 1.57 pm, 5.65% higher, on the BSE.

It was the top gainer in the Sensex pack in afternoon trade. On the NSE, shares of the company gained 5.83% to Rs 1,984.50.

“TCS first quarter results were better-than-expected on all fronts against our/street estimates,” Emkay Global Financial Services said in a report.

The country’s largest software exporter on Tuesday posted 23.4% rise in consolidated net profit to Rs 7,340 crore for the first quarter ended June 30, 2018.

The company had reported a net profit of Rs 5,945 crore in the same period previous fiscal, TCS said in a regulatory filing.

The Tata Group company -- which accounts for a lion’s share of the group’s overall profit -- saw its income from operations grow 15.8% to Rs 34,261 crore during the quarter, up from Rs 29,584 crore a year ago.