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On Thursday, it reported a 24.1 per cent growth in YoY profit at Rs 8,105 crore for October-December period.
Analysts in an earlier ETNOW poll projected the profit at Rs 8,150 crore. The IT major had reported Rs 6,531 crore profit in the same quarter last year.
"We are wrapping up 2018 with a strong revenue growth of 12.1 per cent in the December quarter, which is the highest in 14 quarters, with continued growth acceleration in key verticals and across all geographies,” said Chief Executive Officer and Managing Director, Rajesh Gopinathan.
Here are some key takeaways from the TCS results scorecard.
Record quarterly profit: Net profit above Rs 8,000 crore is a quarterly milestone for the software behemoth. Its previous high stood at Rs 7,927 crore for July-September. Revenue for the quarter rose 20.80 per cent YoY to Rs 37,338 crore, the company said in a BSE filing.
Bonanza to investors: The directors of the company declared a third Interim dividend for the financial year of Rs 4 per share. The dividend will be paid on January 24, and January 18 has been fixed as the record date.
BFSI leads the charge: Revenue growth in BFSI stood out (+8.6% vs +6.1% in Q2). Growth was led by Energy Utilities (18.1%), Life Sciences & Healthcare (+15.7%), Communications & Media (+10.8%) and Retail & CPG (+10.5%).
UK operations star big: Revenue growth accelerated in all the geographies as against Q2. Growth was led by UK (25.1%), Europe (17.6%), and Asia Pacific (12.6%). North America grew 8.2%, India 9.7% and Latin America grew 7.6%.
Consulting & services integration: The IT major saw strong demand in areas like M&A, Global Shared Services and Enterprise Agility. TCS' location independent Agile methodology is resulting in large Agile wins with marquee clients.
Digital transformation services: IoT, TCS Interactive and Cyber Security had an exceptionally strong quarter. IoT saw strong growth and deal wins around digital twin, fleet management and energy management solutions. TCS launched the Intelligent Power Plant solution this quarter.
In a digital overdrive: TCS Interactive saw significant offtake for digital content, digital channels and digital commerce services, led by opportunities around simplification and automation of MarTech stacks, seamless integration across the marketing ecosystem, and marketing analytics. Acquisition of W12 Studios and winning the Red Dot design award were the other key highlights.
Cognitive business operations win it big: The leading software firm saw strong growth powered by MFDMTM and cognitive services. TCS saw strong demand across M&A, digital infrastructure, cognitive business command center, enterprise business processes and intelligent process automation.
Talent addition: Net addition in Q3 was 6,827 employees, bringing the total employee strength at the end of Q3 to 4,17,929 on a consolidated basis. TCS continued to have the best retention rate in the industry, with IT Services attrition rate (LTM) at 11.2 per cent.
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9 Comments on this Story
Rohi Shetty744 days ago
Great performance. TCS is the best!
Dron Khanna744 days ago
Right time to pick up TCS shares. Hold for 5-6 years for max benefit.
Krishna Mn744 days ago
TCS posts highest-ever profit in Q3 at Rs 8,105 crore; AsRevenue growth was driven by expanding demand for digital transformation across verticals, and continued acceleration in BFThis is possible due to Digital India is a campaign launched by the Government of India to ensure the Government''s services are made available to citizens electronically by improved online infrastructure and by increasing Internet connectivity or by making the country digitally empowered in the field of technology.