TCS logo. (Special Arrangement)
BENGALURU: India's largest IT services company Tata Consultancy Services on Monday posted an 8.4 per cent increase in net profit for the second quarter (July-September) at Rs 10,465 crore compared to Rs 9,653 crore in the same quarter last year.
The company reported an 18 per cent jump in its second-quarter revenue at Rs 55,309 crore. TCS posted Rs 46,867 crore in revenue in the year-ago period.
The IT company's operating margin stood at 24 per cent, a contraction of 1.6 per cent Y-o-Y. As expected, its attrition rate is above 21 per cent. However, the company said with normalising wage expectations and talent supply catching up across the industry, it expects attrition to start to taper down in H2.
Rajesh Gopinathan, Chief Executive Officer and Managing Director, TCS said, "Demand for our services continues to be very strong. We registered strong, profitable growth across all our industry verticals and in all our major markets."
He added that the company's order book is holding up well, with a healthy mix of growth and transformation initiatives, cloud migration and outsourcing engagements.
"As clients prepare for a more challenging environment ahead, technologies like a cloud that have been embraced now have to be fully leveraged to realise the promised value," Gopinathan added.
TCS' workforce was at 616,171 as on September 30, 2022. It added 9,840 employees during the second quarter. TCS's order book stood at USD 8.1 billion. It declared Rs 8 dividend per share and the payment date would be November 7, 2022.
