India’s largest IT services company, Tata Consultancy Services (TCS), posted a 0.2 percent year-on-year (YoY) increase in consolidated net profit for the third quarter ended December 31, at Rs 8,118 crore.
The Mumbai based company reported a net profit of Rs Rs 8,105 crore in the corresponding period last year. CNBC-TV18 Polls had predicted a profit for the quarter under review from Rs 8,224 crore.
The quarter revenue increased by 6.7 percent to Rs 39,854 crore in the quarter of December 2019 compared to Rs 37,338 crore in the year-ago period.
The company also announced the company a third Rs 5 dividend per share of Re 1 each.
“On Friday, January 31, 2020, the Third Interim Dividend shall be paid to the Company’s equity shareholders whose names appear as beneficial owners of the stock on Saturday, January 25, 2020, in the Company Members ‘ Register or the Depository Registers,” it said.
As of 31 December, 2019 TCS applied for 5,006 patents, including 132 patents applied during the quarter, and 1,211 patents were granted.
The company reported an attrition rate of 12.2 percent for IT services. Because of attrition, as of 31 December 2019, the headcount stood at 446,675, “The workforce is young and very diverse, comprising 146 nationalities and 36.2% of the workforce being women
Rajesh Gopinathan, Chief Executive Officer and Managing Director said, “Our robust quarterly order book reflects our ability to sell innovative technology solutions to meet the business needs of various stakeholders in the organization and engage in enterprise-wide transformation initiatives for our customers, as well as helping to deepen and expand our customer relationships, and
N Ganapathy Subramaniam, Chief Operating Officer, and Chief Executive Officer said, “In a seasonally weak quarter marked by furloughs across multiple vertical industries, we concentrated on execution while continuing to invest in future growth. With more than 30,000 trainees on board in the first half of the year, we worked on driving up utilization in Q3 and had good results.
Our customer metrics were also very strong, with additions across the majority of revenue buckets. “TCS shares ended at Rs 2,220.90, down Rs 17.50, or 0.78% on BSE.
Sections such as life sciences and healthcare grew 17.1 percent on an annual basis over the quarter. Output grew by 9.2 percent while communications and media grew by 9.5 percent.
Europe (up 15.9%) and the Middle East and Africa (10.8%) and the UK (up 7.5%) led growth among the geographies. North America’s main region rose by 4.1%, the Asia Pacific by 5.7%, India by 6.4%, and Latin America by 6.2%.
The organization has said it has hired 22,390 workers up to the present year. Of the 30,000 freshers aboard in the first half invested in programs, a total for 93 percent.