TCS

Just as the company had warned, cross currency forces affected its topline –  rupee revenue for Q4FY15 was down 1.1% (QoQ) at Rs.24,220 crore while US $ revenue was flat, with a 0.8% growth at $3,900 mln. The constant currency revenue growth was at 1.6% and it had a negative impact of 270 bps. Its EBIT for the quarter came in at Rs.6,591 crore, which was flat sequentially. EBIT margin, which continues to remain as one of the best in industry was at 27.2% v/s 27.04% (QoQ). It finally ended the quarter with a net profit of Rs.5773 crore, up 8% (YoY) and ditto QoQ too. This profit was excluding the adjustment of a one-time bonus.

After a slew of bonus from other IT companies, there was a buzz that TCS might also declare a bonus. And it did but only for its employees. Probably, the first of its kind in recent times, the company announced a one-time bonus for its employees – those who have completed at least a year with TCS will get a week’s salary for each year that they have worked at TCS. Some 2,50,000 of the 3,20,000 employees might benefit. The bill for this generosity has been charged in Q4 performance itself – a cost of Rs.2,628 crore.

Sector-wise telecom, BFSI, Travel/hospitality and energy saw negative growth and in terms of geographical growth, all regions showed a negative growth except Middle East and Africas (MEA) which grew 4.9% (QoQ).  During the quarter, the company added five US$100 million clients and total employee strength at end of FY15 was at 3,19,656. The company does not give estimations but only said that it hopes to exceed NASSCOM’s revenue growth estimate of 12-14% for current FY16 fiscal.