TCS Q3 Results Highlights: IT giant reports adjusted net profit of ₹12,016 crore, announces interim dividend

Thank you for joining our coverage of TCS Q3 Results. We will now wrap the blog.

All the recently won projects are being continued to be executed and there’s no change or rethinking. No change in discretionary or non-discretionary. Clients are seeing what benefit they can take from GenAI but there are no large projects yet. All projects are small.

Overall for the year still stand by the number of onboarding 40,000 employees.

We have been winning good deals in BFSI and the pipeline is good so we are confident in mid to long term.

Degrowth in BFSI has two aspects. Some large programs are being completed but sometimes the subsequent doesn’t start so that has an impact and there is a furlough impact in some parts of Europe.

There is an excitement about GenAI. Continue to focus on training. We will use GenAI to improve our services. The possibilities of using genAI are enormous.

I wouldn’t read too much into Banking, Financial Services, and Insurance (BFSI) degrowth. The client portfolio has done well. Overall, feel that we are comfortable after securing $8 billion in deals this quarter.

After the launch of the AI cloud business, the company saw increased traction. In Q3, the company had 4 production deployments of gen AI engagements.

Attrition continues to improve. LTM business IT attrition reduced to 13.3%.

Order book for North America stood at $4.2 billion. Consumer busines at $1.5 billion and BFSI at $2.6 billion.

Deal wins continue to be strong. Achieved deal wins without the support of mega wins.

“New growth markets have seen strong growth validating our diversification strategy.”

Revenue in US Dollar terms stood at $7,281 million, which was marginally higher than the CNBC-TV18 poll of $7,195 million.

#3QWithCNBCTV18 | #TCS board announces #InterimDividend of Rs9/Sh & special dividend of Rs 18/sh pic.twitter.com/NhAERLE2Wx

— CNBC-TV18 (@CNBCTV18Live) January 11, 2024

“There are multiple hits in the TCS Q3 earnings. We have been saying that attrition fall is a very big mover of margins and that is what is reflected in the numbers. In my view, a further uptick in margins by at least 200-250 basis points over the next 2-3 quarters is very much possible. Overall, I would say a decent set of earnings from TCS.”