Mumbai based India’s largest software exporter Tata Consultancy Services (TCS) reported its Q3 FY2015 results on Thursday, 15th January 2015. Net Profit for the quarter ending December 2014 rose to Rs. 5444 crore. The company had reported a net profit of Rs. 5180 crore in the same period of last fiscal year. Quarterly net profit rose 2.9% QoQ and 5.1% YoY.
Quarterly revenue of TCS rose 2.9 percent quarter-on-quarter and 15.1% year-on-year to Rs. 24501 crore in the third quarter in comparison to Rs. 21294 crore for the same quarter of last fiscal year.
TCS reported operating income of Rs. 6624 crore with 27.04 percent operating margin in comparison to Rs. 6335 crore for the third quarter of last fiscal year.
In the third quarter attrition rate was at 13.4 percent and utilization rate at 86.7% (ex-trainees) and 82.1% (including trainees). TCS added 5529 trainees, 6129 laterals in India and 4903 employees overseas (total 16,561 employees) during the third quarter to reach at a total headcount of 318625.
TCS added three above USD 50 million clients and one USD 100-million client apart from 20 USD 5 million clients during the third quarter FY2015. The company has also declared a dividend of Rs 5 per share which has a face value of Re 1.
Commenting on the Q3 performance, Chief Executive Officer and Managing Director of TCS, N Chandrasekaran said: “We have maintained our momentum in a traditionally weak quarter for the IT industry. In constant currency terms, we have seen significant growth in USA, Europe as well as emerging markets like Latin America and Middle-East Africa. Our diversified industry portfolio and presence across key markets have helped us overcome soft seasonal demand in some sectors.”
Mr Chandrasekaran added: “Based on our progress this quarter, we are well on our way to post industry-leading growth for FY15. In areas like Digital, Simplification and Governance, we continue to partner closely with customers to help them prepare their businesses to succeed in an economy where the default is digital.”
Rajesh Gopinathan, Chief Financial Officer of TCS, said: “Sharp cross currency movements have impacted dollar revenues, but we continue to manage operations with discipline and rigour while investing in people, capabilities and infrastructure on an ongoing basis.”
Financial highlights of TCS for Q3 FY2015 – Rs. In Crore
|Income before income taxes
|Income after income taxes
|EPS in Rs.