TCS Tops Quarterly Revenue Expectations, Confident on H2 Outlook
Tata Consultancy Services news: It handed a boost to the$ 283 billion Indian IT assiduity that has been floundering with muted customer spending this time due to the uncertain global macroeconomic conditions, especially in North America, its biggest request.
Indian software- services exporter Tata Consultancy Services( TCS) beat TCS daily results estimates on Thursday, helped by its banking, fiscal services, and insurance business, and indicated stronger growth in the alternate half of the financial time.
Tata Consultancy Services news: It handed a boost to the$ 283 billion Indian IT assiduity that has been floundering with muted customer spending this time due to the uncertain global macroeconomic conditions, especially in North America, its biggest request.
“If there are no more tariff surprises, Indian IT should slowly but steadily come out of this quarter,” Piyush Pandey, analyst at Centrum Broking, told Reuters. “TCS surprised positively on revenue and operating margins.”
Krithivasan, TCS’ Chief Executive Officer, said the number of projects getting deferred or put on hold reduced from the first quarter. “We have seen TCS revenue growth than Q1. Macroeconomic conditions have not changed materially. But our deep client engagements and AI solutions have set us up for confidence in the second half to improve the growth rate,” he said in a post-earnings conference call.
TCS, India’s most valuable listed company, posted sales of 657.99 billion rupees ($7.4 billion) in the September quarter, an increase of 2.4% that topped analysts’ average estimate of 650.86 billion rupees, according to data from LSEG.
TCS revenue estimates beat, financial services, and insurance vertical – which accounts for a third of TCS’ business – increased 1%. Consumer, healthcare and manufacturing verticals fell 2.9%, 2.2% and 1.1%, respectively.
TCS earnings report 2025 increased 1.4% to 120.75 billion rupees but missed the analysts’ average estimate of 126.29 billion rupees, due to severance costs of 11.35 billion rupees. In July, TCS said it would cut its workforce by 2% in fiscal 2026 in the middle and senior management levels, which means job losses to 12,200 employees. The company’s overall headcount reduced by 19,755 during the quarter, the steepest quarterly decline in the company’s history.
Total order bookings for TCS stood at $10 billion TCS Q2 results India, up from $9.4 billion in Q1 and $8.6 billion a year ago, a positive sign for the industry which is facing headwinds including a proposed 25% tax on outsourcing payments and curbs on H-1B visas.
