Tata Consultancy Services (TCS), India’s largest IT services company, on Thursday reported a 15 per cent rise in consolidated net profit to Rs 13,884 crore for the September quarter, aided by broad-based growth across international markets and strong demand for artificial intelligence services.The Tata group company had posted a net profit of Rs 12,075 crore in the year-ago period and Rs 13,349 crore in the preceding June quarter.Revenue from operations rose 11.22 per cent year-on-year to Rs 73,188 crore during the July-September quarter from Rs 65,799 crore a year ago. Revenue was up 1.3 per cent sequentially from Rs 72,275 crore in the June quarter.TCS reported an operating margin of 24 per cent for the quarter, while net margin stood at 19 per cent.The company’s annualised AI revenue crossed the $3 billion mark during the quarter, reaching $3.1 billion, or more than 10 per cent of its overall revenue. Total contract value (TCV) stood at $9.6 billion, compared with $9.5 billion in the preceding quarter and $10 billion a year earlier.TCS said banking, financial services and insurance (BFSI), manufacturing, and technology and services were among the key growth drivers during the quarter. BFSI grew 2.5 per cent sequentially in constant currency terms, while manufacturing and technology and services grew 3.1 per cent each.The company added 4,258 employees on a net basis during the quarter, taking its overall workforce to 5,98,056 as of September 30. Last-twelve-month attrition in IT services stood at 13.3 per cent.Also read: India’s GDP is booming, but stock market is crashing: What’s going wrong?TCS also announced a second interim dividend of Rs 12 per equity share for FY27. The record date has been fixed as October 14, with the dividend to be paid on October 30.During the quarter, TCS announced a five-year strategic partnership with Porsche AG and said its subsidiary would acquire 100 per cent of MHP Management- und IT-Beratung GmbH, Porsche’s Germany-based management and IT consulting subsidiary, subject to regulatory approvals.It also announced an agreement to transition Best Buy’s Global Capability Centre in India to TCS and transform it into an AI Capability Centre.K Krithivasan, chief executive officer and managing director of TCS, said the company saw broad-based growth across international markets and most industry segments. He said the Porsche and Best Buy deals represented a new category of transformation partnerships aimed at scaling AI.Ahead of the results, TCS shares closed 0.42 per cent lower at Rs 2,075.25 apiece on the BSE, compared with a 1.44 per cent decline in the benchmark index.
