TCS Q3 net profit grows 11 pc to Rs 10,846 cr; revenue jumps over 19 pc

The country’s largest IT services exporter TCS on Monday reported an 11 per cent jump in the December quarter net profit to Rs 10,846 crore, led by overall growth and forex gains.
The Tata group company had reported a post-tax net profit of Rs 9,769 crore in the year-ago period.

Overall revenue grew 19.1 per cent to Rs 58,229 crore for the reporting quarter from Rs 48,885 crore in the year-ago period, the company said, adding in constant currency, the topline growth is 13.5 per cent, and in the dollar terms, it clipped at 8 per cent.

Also read: TCS profit up, but IT sector staring at tough export markets, rising attrition

Operating profit

The operating profit margin narrowed by 0.50 per cent to 24.5 per cent for the reporting quarter.

TCS chief executive and managing director Rajesh Gopinathan attributed the strong set of numbers in a seasonally weak quarter to the stellar performance of their cloud services and the continued business momentum in North America and England.

Dropping attrition

The company’s overall workforce declined by 2,197 persons to 6,13,974, the largest employer in the sector, he said, adding its attrition has dropped to 21.3 per cent from 21.5 per cent — after six quarters of uptick — and the quarterly annualised attrition has fallen nearly 6 per cent.

Also read: 8 of top 10 firms lose ₹1 lakh cr in mcap; Infosys, HDFC Bank, TCS worst hit

The TCS scrip rallied 3.35 per cent to Rs 3,319.70 on the BSE against the 1.41 per cent rally on the benchmark.