AgenciesRelated
Tata Consultancy Services’ which kicked off the earnings season for Indian IT companies on Friday reported profit in line with analyst expectations. Net profit in the quarter grew by 7.3% to Rs 8701 crore and revenue 5.4% to Rs 42,015 crore on a year-on-year basis.
In constant currency terms, revenue grew 0.4% on a year-on-year basis.
In dollar terms, the company reported revenue of $ 5.07 billion, up 5.1% in constant currency terms over the previous quarter
In the second quarter to October, the company grew 4.8% sequentially after a drop of 6.3% in the first quarter due to the business uncertainty following the Covid-19 induced lockdown globally.
The IT services major saw lowest ever employee attrition during the third quarter at 7.6%.
CEO Rajesh Gopinathan said that the company was entering the new year on an optimistic note,based on the strength in the order book and deal pipeline, “Growing demand for core transformation services and strong revenue conversion from earlier deals have driven a powerful momentum that helped us overcome seasonal headwinds and post one of our best performances in a December quarter.”
At the beginning of the pandemic in April, Gopinathan had said that growth would kick in from Q3 FY21. He added that if growth got back on track, the company would “defend the exit rate of Q4 FY21 similar to Q4 FY20.”
TCS’ margin improved by 1.6% basis points from the same period last year to 26.6% despite wage hikes rolled out in October. The company saw growth come across verticals and geographies as clients looked to cut costs and shift their technology investments to cloud.
In constant currency terms, revenue grew 0.4% on a year-on-year basis.
In dollar terms, the company reported revenue of $ 5.07 billion, up 5.1% in constant currency terms over the previous quarter
In the second quarter to October, the company grew 4.8% sequentially after a drop of 6.3% in the first quarter due to the business uncertainty following the Covid-19 induced lockdown globally.
The IT services major saw lowest ever employee attrition during the third quarter at 7.6%.
CEO Rajesh Gopinathan said that the company was entering the new year on an optimistic note,based on the strength in the order book and deal pipeline, “Growing demand for core transformation services and strong revenue conversion from earlier deals have driven a powerful momentum that helped us overcome seasonal headwinds and post one of our best performances in a December quarter.”
At the beginning of the pandemic in April, Gopinathan had said that growth would kick in from Q3 FY21. He added that if growth got back on track, the company would “defend the exit rate of Q4 FY21 similar to Q4 FY20.”
TCS’ margin improved by 1.6% basis points from the same period last year to 26.6% despite wage hikes rolled out in October. The company saw growth come across verticals and geographies as clients looked to cut costs and shift their technology investments to cloud.
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