TCS
profit up 5.5
per cent at ₹
12,
380 crore
in Q3
TCS profit up 5.5 per cent at ₹12,380 crore in Q3
Updated - January 09, 2025 at 09:34 PM.
Revenue for the company grows 5.6 per cent to ₹63,973 crore
By Vallari Sanzgiri
Companies to follow
Tata Consultancy Services Ltd
Comments
Share
Copy link
Email• Коммуникации » Интернет-коммуникации » Электронная почта
Facebook• Объект организация » Организации по алфавиту » Организации на Me » Meta (компания) » Facebook
• Объект организация » Организации по алфавиту » Организации на Fa » Facebook
Twitter• Объект организация » Организации по алфавиту » Организации на Tw » Twitter, Inc.
Telegram
LinkedIn
WhatsApp
Reddit
READ LATER
Remove See All
K Krithivasan, Chief Executive Officer and Managing Director | Photo Credit: -
Tata Consultancy Services (TCS) reported a net profit of ₹12,380 crore for the
third quarter of the financial year 2024-25, up 5.5 per cent compared to
₹11,735 crore in the same quarter of the previous fiscal year. Net profit
increased by 3.9 per cent quarter-on-quarter compared to ₹11,909 crore in the
second quarter.
It may be noted that including a one-time legal claim, net profit grew 12 per
cent YoY, as the adjusted profit for the third quarter last year would be ₹
11,058 crore.
Revenue for the company grew 5.6 per cent to ₹63,973 crore for the latest
quarter. Most verticals and market saw sequential negative growth on QoQ
basis. Top verticals consumer business• Экономика » Бизнес and BFSI grew 1.1 per cent and 0.9 per
cent respectively. Speaking on other verticals, K Krithivasan, Chief Executive
Officer and Managing Director, called the healthcare and manufacturing
vertical “a wait and watch department.”
UK grew by 4.1 per cent while the Indian market grew 70.2 per cent YoY.
Negative revenue growth was recorded for the North America market at -2.3 per
cent and continental Europe for -1.5 per cent. Regarding India’s growth,
Krithivasan said the non-BSNL front contributed to the numbers, adding that
the company expected BSNL to have hit peak and taper off hereon out.
“We’re expecting BSNL to reach peak and taper off but we’re very confident of
regional growth elsewhere. We’ll be able to handle this. We’re not too worried
and will find opportunities in other geographies to make for BSNL’s revenue
decline,” he said.
Total contract value (TCV) grew 18 per cent to $10.2 billion. Operating margin
stood at 24.5 per cent, a decline of 50 bps YoY, excluding settlement of legal
claim. But with a sequential improvement of 40 bps.
Workforce weakens
The company’s workforce strength declined 0.8 per cent to a headcount of
607,354 even though LTM IT attrition rate grew to 13 per cent compared to 12.3
per cent last quarter.
Milind Lakkad, Chief HR Officer, said: “We promoted over 25,000 associates
this quarter which brought the total promotions this financial year to more
than 110,000. We continue to invest in employee upskilling and overall
well-being. Our campus hiring for the year is going according to plan and
preparations are afoot to onboard a higher number of campus hires next year.”
Stating that there is no direct linear co-relation between growth and
headcount, Lakkad added that the company is on track to get campus hiring of
40,000 people. However, he anticipated reduction in quarterly attrition going
forward. LTM numbers may go up and down accordingly.
Speaking on the results, Biswajit Maity, Sr Principal Analyst, Gartner, said,
“TCS must continue focusing on improving service delivery, resource
management, and the quality of deliverables, as customer feedback indicates
concerns in these areas. If these issues are not addressed, they could hinder
TCS’ growth momentum and long-term success.”
Comments
SHARE
Copy link
Email• Коммуникации » Интернет-коммуникации » Электронная почта
Facebook• Объект организация » Организации по алфавиту » Организации на Me » Meta (компания) » Facebook
• Объект организация » Организации по алфавиту » Организации на Fa » Facebook
Twitter• Объект организация » Организации по алфавиту » Организации на Tw » Twitter, Inc.
Telegram
LinkedIn
WhatsApp
Reddit
Published on January 9, 2025