Delhi, January 10, 2025 (Punjab Khabarnama Bureau): India’s largest IT services company TCS on Thursday reported an 11.95 per cent jump in its December quarter net profit to Rs 12,380 crore.
The Tata Group company had reported a net profit of Rs 11,058 crore in the year-ago period and Rs 11,909 crore for the preceding September quarter. The company’s revenue grew 5.6 per cent to Rs 63,973 crore against Rs 60,583 crore in the year-ago period. However, it was down from Rs 64,259 crore in the September quarter.
New order bookings stood at USD 10.2 billion against USD 7.9 billion in the year-ago, in what is generally called a seasonally challenging quarter due to the holiday season.
Its chief executive K Krithivasan said the macro factors afflicting the IT sector continued even in the reporting quarter but added that the new orders were across industries, geographies and service lines, which lends a “good visibility to long-term growth”.
There are also early signs of a revival in discretionary spending, which have been elusive for a better part of the fiscal and are among the factors leading to the softer revenue growth of 4.6 per cent in the first nine months.
Krithivasan said discretionary spending is likely to increase from now and added that the calendar year 2025 will be better than 2024.
He told reporters that from a revenue perspective, Q3 saw negative growth across all the major geographies, but it was emerging markets which helped. Revenues from India grew 70 per cent, and the home country now accounts for over 9 per cent of the overall revenue pie.
Krithivasan said the BSNL deal, which has been supporting Indian revenues for the past few quarters, has reached its peak and will taper off faster but exuded confidence that its global business will help make up for the dip.
A significant part of the revenue contribution for India business comes from BSNL in Q3, but from a growth perspective, other sectors or clients have delivered better, he said.
Summary: Tata Consultancy Services (TCS) reports a 12% rise in Q3 net profit, reaching ₹12,300 crore, driven by strong business performance.