TCS posts robust net, revenue growth in Q3

Mumbai, Jan 12 (IANS) Global software major Tata Consultancy Services (TCS) on Thursday reported robust net profit (10.9 per cent) and revenue growth (8.7 per cent) for the third quarter of fiscal 2016-17.

“Our net profit grew 10.9 per cent to Rs 6,778 crore for the quarter under review from Rs 6,110 crore in like period year ago as per the Indian accounting norm,” said the city-based IT bellwether in a statement here.

Revenue grew 8.7 per cent to Rs 29,735 crore for Q3 from Rs 27,364 crore in same period last year.

Sequentially, net profit grew 2.9 per cent from Rs 6,586 crore and revenue 1.5 per cent from Rs 29,284 crore in the second quarter under the Indian accounting norms.

Under the International Financial Reporting Standard (FRS), net income grew 7.9 per cent to $1,000 ($1 billion) from $926 million in the same period an year ago and 1.6 per cent sequentially from $984 million last quarter.

Gross revenue under IFRS grew 5.8 per cent to $4,387 million ($4.4 billion) from $4,145 million ($4.1 billion) in same period last year and fractionally up (0.3 per cent) from $4,374 million ($4.37 billion) last quarter.

“Digital revenue accounted for 16.8 per cent of total revenue, up 30 per cent annually. Sequentially under constant currency (billion), revenue grew 2 per cent and volume growth 1 per cent,” said the company in the statement.

Operating margin at Rs 7,733 crore ($1.14 billion) is 26 per cent of revenue, net margin at Rs 6,778 crore ($1 billion) 22.8 per cent of revenue and cash flow at Rs 7,957 crore ($1.12 billion) is 26.8 per cent.