An uncertain macro environment and slow discretionary spending by its clients in major markets, coupled with seasonal weaknesses owing to furloughs, affected the third-quarter (October-December 2024) FY25 performance of India's largest information-technology services player, Tata Consultancy Services (TCS).
TCS' net profit for the third quarter, at ₹12,380 crore, was up 11.9 per cent over ₹11,058 crore in the same quarter of FY24. In Q3FY24 TCS had a one-time settlement of legal claims of ₹958 crore. Taking this into consideration, net profit growth year-on-year (Y-o-Y) was 5.5 per cent.
Revenue grew 5.6 per cent to ₹63,973 crore in the quarter concerned. Sequentially it was down 0.4 per cent. In dollars, revenue was down 1.7 per cent and went up 3.6 per cent Y-o-Y.
The company missed meeting Bloomberg estimates. According to the estimates, revenue was expected at ₹64,748 crore and net profit at ₹12,534 crore. The surprise, and a positive point, was the order books. The total contract value (TCV) came in strong at $10.2 billion in the quarter. In Q1 and Q2 it was $8.3 billion and $8.6 billion, respectively.
This story is from the January 10, 2025 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the January 10, 2025 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
SIP OF LIFE
How Makaibari, the iconic Darjeeling tea brand, is seeking to brew a touch of lifestyle and heritage in Kolkata and beyond
Lanka power project not cancelled: Adani group
The Adani group on Friday denied the cancellation of Adani Green Energy's (AGEL's) wind power project in Sri Lanka. The group said the tariffs for the project are being re-evaluated as part of a standard process.
Highways Infra Trust eyes ₹25k cr AUM this FY
Highways Infrastructure Trust's growth is set to be fuelled by the infusion of ₹5,500 crore from its key investors -- KKR and Ontario Teachers' Pension Plan (OTPP), said Gaurav Chandra, executive director and joint chief executive officer.
Patanjali recalls 4 tonnes of red chilli powder
Home-grown fast-moving consumer goods (FMCG) company Patanjali Foods on Friday said that it had recalled four tonnes of red chilli powder (200 gm packs) from the market.
GCPL net down 14.2% at 498 cr
Godrej Consumer Products Ltd (GCPL) on Friday reported a 14.24 per cent decline in consolidated net profit after tax (PAT) of ₹498.31 crore in the third quarter ended December 2023, impacted by demand headwinds in India and surge in palm oil prices.
Sebi bars Suumaya’s promoters for fraud
The Securities and Exchange Board of India (Sebi) on Friday debarred four individuals from the promoter group and management of Suumaya Industries for allegedly manipulating markets (Suum) from accessing the market and engaging in fraudulent transactions, and diverting funds.
DFS secretary: Pension fund market needs diversification
The pension fund industry requires greater participation, given the high concentration of assets, Department of Financial Services (DFS) Secretary M Nagaraj said on Friday.
Future shock for India in technology?
A large chunk of its workforce is unprepared as AI, ML become common
Fall in rupee an investment opportunity for NRIs, GCCs
However, experts warn of risks ahead
Tata Electronics acquires 60% in Pegatron India, bags iPhone plant
Tata Electronics announced on Friday its acquisition of a controlling 60 per cent stake in Pegatron Technology India Private Limited - a subsidiary of Taiwanese electronics manufacturing giant Pegatron Corporation.
