TCS logs 9% y-o-y growth in Q2 profit at Rs 11,342 crore

12 Oct 2023 , 08:49 AM

Tata Consultancy Services (TCS) announced a 9% year-on-year increase in consolidated net profit for the quarter ended September 2023 to Rs 11,342 crore on Wednesday. Consolidated revenue increased by roughly 8% year-on-year to Rs 59,692 crore.

Revenue increased by 0.5% sequentially, while profit increased by 2.4%.

The board of directors has proposed a second interim dividend of Rs 9 per share. The board has also approved a Rs 17,000 crore share repurchase at Rs 4,150 per share.

Revenue increased 2.8% year-on-year in constant currency terms. The major banking, financial services, and insurance (BFSI) industry increased revenue by less than a percent sequentially in the quarter to Rs 22,840 crore.

The operating margin, calculated as earnings before interest and taxes (EBIT), increased 110 basis points sequentially to 24.3% and up 30 basis points year-on-year.

TCS observed attrition levels fall even more in the third quarter. The 12-month trailing attrition rate was 14.9%, down from 17.8% a quarter ago. TCS’ overall workforce was at 608,985 as of September 30, with gross additions held below exits, reflecting the company’s focus on enhancing employee utilisation and productivity.