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TCS Q2 Results Today Kick Off Earnings Season

Tata Consultancy Services will report its second-quarter results on Thursday, October 9, officially kicking off India’s corporate earnings season. The company’s board will meet to approve the results and consider a second interim dividend for shareholders.

Analysts expect the IT giant to post constant-currency revenue growth of between 0.5 and 1.5 percent on a sequential basis, with dollar revenue estimated at 7.7 to 7.9 billion dollars, or roughly 66,500 crore rupees. Operating margins are expected to hold near 24 percent as the company balances wage costs with efficiency gains.

Deal wins will be a key number to watch. Brokerages expect total contract value of 8.5 to 9.5 billion dollars for the quarter. Investors will also listen closely to management commentary on the banking and financial services vertical, hiring plans, and the impact of artificial intelligence on large outsourcing contracts.

The results come after a weak first quarter in which TCS reported a six percent fall in net profit. With a market capitalisation near 14 lakh crore rupees and roughly two percent weight on the Nifty, the IT major’s commentary will set the tone for Infosys, HCLTech and Wipro, which report later this month.

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