TCS revenue jumps 8.4% to $7.07 bn in Dec quarter

Tata Consultancy Services (TCS) has reported 8.4 percent increase in revenue to $7.075 billion for the quarter ending December 31, 2022 — led by Cloud, Cyber Security, Consulting Services and Enterprise Application Services.
TCS Netherlands
TCS achieved operating margin of 24.5 percent and net profit of $1.318 billion during the third quarter of fiscal 2023.

TCS, the #1 IT services company in India, has revealed that it reduced the number of IT employees.

TCS said revenue growth was led by Retail and CPG (+18.7 percent) and Life Sciences & Healthcare verticals (+14.4 percent). TCS said Communications & Media revenue grew 13.5 percent and Technology & Services grew 13.6 percent. TCS said manufacturing revenue rose 12.5 percent while BFSI grew 11.1 percent.

Among major markets, TCS revenue from North America and UK led with 15.4 percent growth; Continental Europe grew 9.7 percent. In emerging markets, Latin America grew 14.6 percent, India grew 9.1 percent, Asia Pacific grew 9.5 percent and Middle East & Africa grew 8.6 percent.

TCS’ employee base reached 613,974 as on December 31, 2022, a net reduction of 2,197 during the quarter.

TCS achieved the improved productivity by focusing on utilizing the excess capacity built up over prior quarters and through investments in organic talent development. In Q3, TCSers clocked 11.4 million learning hours, resulting in the acquisition of 1.3 million competencies.

IT services attrition on an LTM basis trended down to 21.3 percent and is expected to fall further in the coming quarters.