Login 
Learn & Earn 
Home
12 Jan 2024 6:54 AM GMT
Summary
The leading Indian software service provider achieved a 2% year-on-year (YoY) growth in consolidated net profit, reaching ₹11,058 crore, while revenue experienced a 4% increase, totaling ₹60,583 crore. Analysts' projections had anticipated revenue at ₹60,119 crore and a profit of ₹11,446 crore.
: Shares of Tata Consultancy Services climbed more than 4 per cent in morning trade on Friday, adding Rs 51,921.94 crore to its market valuation, after the company reported an 8.2 per cent growth in net income for the December quarter at Rs 11,735 crore.
The stock jumped 4.21 per cent to Rs 3,893.70 on the BSE.
On the NSE, it rallied 4.24 per cent to Rs 3,894 apiece.
The company's market capitalisation (mcap) went up by Rs 51,921.94 crore to Rs 14,19,016.71 crore during the morning trade.
In the equity market, the 30-share BSE Sensex traded with a jump of 701.29 points at 72,422.47, and the Nifty climbed 191.95 points to 21,836.25, powered by a rally in IT stocks.
From the Sensex and Nifty pack, Infosys, Wipro, Tech Mahindra, and HCL Technologies were also trading significantly higher.
Results
Tata Consultancy Services (TCS), the largest IT services company in India, disclosed financial results for the quarter ending December 2023, surpassing revenue expectations but falling short on the bottom line.
The leading Indian software service provider achieved a 2% year-on-year (YoY) growth in consolidated net profit, reaching ₹11,058 crore, while revenue experienced a 4% increase, totaling ₹60,583 crore. Analysts' projections had anticipated revenue at ₹60,119 crore and a profit of ₹11,446 crore.
Additionally, the board recommended a special dividend payout of ₹18 per share and an interim dividend of ₹9 per share.
Sequentially, the revenue demonstrated a 1.5% increase, while the profit saw a 2.5% decline. TCS attributed this profit decline to a one-time charge of ₹958 crore incurred during the quarter for the settlement of a legal claim, which had an adverse impact on the bottom line.
The earnings before interest and taxes or EBIT margin was 25%, against 24.3% a quarter ago. The company secured contracts totaling $8.1 billion in the third quarter, marking a decrease from the $11.2 billion in deals it had acquired in the preceding September quarter.
