TCS lights up dull market

TCS is currently the top gainer on the BSE; opening over 4% higher at Rs.4200, it rose to an intraday high at Rs.4236.55, up 5%.

The company, for Q3FY25, posted a consolidated net profit of Rs.12,380 crore and consolidated revenue of Rs.63,973 crore.

Its order book, in spite of a seasonally weak quarter, stood at $10.2 billion v/s $8.6 billion in Q2. Despite the cross-currency headwinds, the company posted an operating margin of 24.5 per cent, which was an increase of 40 basis points over the previous quarter.

The market is happy that the management commentary showed early signs of revival in discretionary spending leading to a bright outlook and it expects calendar year 2025 growth to be higher than the previous year, implying high single-digit growth in developed markets.

Though there has been a decline in revenue from North America for the 5th consecutive quarter, TCS CEO K Krithivasan, in a post-earnings press conference said, “Once the new (U.S.) administration comes in, it will remove any policy uncertainty”.