TCS Q4FY21 results: Consolidated net profit rises 6.3% QoQ to Rs 9,246 crore
IT services company Tata Consultancy Services (TCS) posted its financial numbers of the quarter ended on March 31, 2021 (Q4FY21), and reported a 6.3 per cent quarter-on-quarter (QoQ) rise in consolidated profits at Rs 9,246 crore against Rs 8,701 posted in the quarter ended December 31, 2021 (Q3FY21).
IT services company Tata Consultancy Services (TCS) posted its financial numbers of the quarter ended on March 31, 2021 (Q4FY21), and reported a 6.3 per cent quarter-on-quarter (QoQ) rise in consolidated profits at Rs 9,246 crore against Rs 8,701 posted in the quarter ended December 31, 2021 (Q3FY21). The profits grew 14.9 per cent year-on-year (YoY) from Rs 8,049 crore posted in Q4FY20.
The company's revenue grew 4 per cent to Rs 43,705 crore in the reported quarter against Rs 42,015 crore posted in the previous quarter. The revenue grew 9.4 per cent from Rs 39,946 crore in the corresponding period last fiscal,
The Earnings before interest and taxes (EBIT) – an indicator of a company's profitability – grew 4.9 per cent QoQ to Rs 11,734 crore in Q4FY21 against Rs 11,184 crore posted in Q3FY21. The operating margin of the fourth quarter of the financial year 2020-21 was reported at 26.8 per cent, 0.2 per cent expansion QoQ, against 26.2 per cent reported in Q3FY21.
Rajesh Gopinathan, Chief Executive Officer and Managing Director said, "Our investments over the last decade in building newer capabilities, and in research and innovation, position us well for the multi-year technology services opportunity ahead. While we continue to dominate in our traditional areas of strength, we are making good progress in gaining share in the growth and transformation opportunity. Our focus going into FY 22 will be to engage with clients in their growth agenda, propelled by innovation and leverage of collective knowledge."
N Ganapathy Subramaniam, Chief Operating Officer & Executive Director, said, "I am pleased to note that in FY 21, leading organizations partnered with TCS in their growth and transformation journeys. Many of them benefited from our refreshingly different consultative approach to shaping, contracting, executing, and measuring the success of transformation programs, always holding ourselves accountable for the results."
Also, the company has said that the board has recommended a final dividend of Rs 15 per equity share. In a regulatory filing the company said, "At the Board Meeting held today, the Directors have recommended a Final Dividend of Rs 15 per Equity Share of Rs 1 each of the Company which shall be paid/dispatched on the fourth day from the conclusion of the Annual General Meeting, subject to the approval of the shareholders of the Company."
The Information Technology behemoth in the regulatory filing also mentioned that it has added 40,185 employees for FY 2020-21 of which 19,388 employees – highest ever in the quarter – were added in Q4FY21. With this addition, the total headcount reached 488,649 as of March 31, 2021. At 7.2 per cent, the IT services attrition (LTM) recorded an all-time low, it mentioned.
Besides, the board based on the recommendations of the Nomination and Remuneration Committee has appointed Mr. Samir Seksaria as Chief Financial Officer, effective May 1, 2021, to take over from Mr. Ramakrishnan V., who would be retiring from the services of the Company effective April 30, 2021.