TCS Financial News

MUMBAI : MCX is planning to offer shorter duration futures contracts on select commodities and options on commodity indices, two people aware of the matter said, in a move that could significantly increase its turnover. This follows the market regulator allowing the commodities exchange go live on Tata Consultancy Services Ltd’s new commodity derivatives platform from 16 October. MCX is one of four Sebi-recognized national exchanges that runs the largest commodity derivatives segment (CDS), accounting for around 98% market share.

₹11,342 crore in the September quarter, compared to ₹10,431 crore in the corresponding period last year. The board approved a buyback of ₹17,000 crore at a price of ₹4,150 per equity share at a premium of about 15 per cent. This is the company's fifth share buyback for the IT behemoth in a span of six years.

Stock market today: Despite weak sentiments at Indian stock market, PSU stocks — REC, GAIL, Coal India, MMTC and NMDC have climbed to a new 52-week peak during Friday deals. All these PSU stocks opened with upside gap and went on to hit new 52-week high during early morning session. Out of these five PSU stocks, two stocks climbed to a new life-time peak while hitting intraday high on Friday.

Tata Consultancy Services (TCS), Infosys and HCL Technologies (HCL Tech) recently declared their September quarter (Q2) results. The Q2 earnings for all three firms either met or exceeded analyst expectations on the back of strong deal wins and a rise in revenue, however, narrowing revenue growth guidance and weak outlook were key negatives. But which of these three is the best of the lot? Let's find out: Nifty IT has outperformed Nifty in 2023 YTD, after underperforming by 30 percent in 2022.

Tata Consultancy Services Ltd, Infosys Ltd, HCL Technologies Ltd indicate that the ride in second half of financial year may remain turbulent. There are limited expectations for FY24. While TCS reported tepid revenue growth missing expectations, Infosys and HCL Technologies' revenue growth guidance cuts have disappointed.

₹3543 on Thursday. "The market is likely to remain under pressure because of a disappointing show by the IT majors," said Dhiraj Relli, MD & CEO, HDFC Securities.

MUMBAI, NEW DELHI : India’s top three IT companies have seen more than 25,000 net employee exits in the six months to September, driven by cost-saving measures, unfilled job openings, and hiring curbs. Companies and recruiters expect the labour market to remain weak for at least a couple of quarters, pending a rebound in deal flow and immediate needs that would require renewed recruitment. “Cost optimization is taking place either through vacancies that remain unfilled or some amount of natural attrition.

NEW DELHI : Infosys Ltd and HCL Technologies Ltd on Thursday said their 2023-24 revenue growth will be weaker than their earlier forecasts as their large foreign clients tighten purse strings amid economic uncertainties. With India’s largest tech services company, Tata Consultancy Services Ltd, already witnessing a revenue decline in the second quarter, this portends a depressing year for at least three of India’s Big Five tech companies. Infosys, India’s second-largest technology services provider, on Thursday slashed its growth guidance for a second straight time and now expects it at 1-2.5% in constant currency terms in 2023-24.

Tata Consultancy Services failed to lift the sentiments on the IT pack, it was the turn of Infosys that reported its Q2 performance on Thursday. The nervousness in the market was visible as the Nifty IT Index was down 1.67% led by correction in share prices of TCS, HCL Technologies that were down 1.78-1.85%, while Infosys share price declined sharper 2.85%. Infosys reported revenues at ₹38,994 Crore were up 6.7% y-o-y and 2.8% sequentially.

HCL Tech while announcing its September quarter financial results. The IT giant firm managed to reduce its attrition rate in the current quarter compared to its attrition rate of 23.8 per cent in the year ago period. Its attrition rate stood at 16.3 per cent in the June quarter of the current financial year.

Mahantesh Sabarad, Independent Market Expert, says “I do not think guidance revision will lead to a massive derating in EPS estimates but potentially expectations from Infosys will get further delayed. Most of the analysts would roll forward their estimates and look at a better EPS and therefore with the lower multiple assigned, virtually retain the same target price. Something similar is likely to happen. I do not see any major upgrades coming in per se in terms of either EPS or target prices from analysts.” For Infosys. revenue has come in at 2.3% sequential growth. Margin has seen a 40 bps expansion at 21.2% and we are also looking at a TCV of around $7.7 billion. But, of course, the biggest headline is the guidance cut on the upper end. Your take. These results seem to be all right and 2.3% constant currency growth is a bit of a positive surprise and the deal wins are also very good. I am not too sure why the guidance has been tempered down. I guess like TCS, they are also facing a bit of execution issue ramp downs and late ramp-ups are likely to happen ahead. That seems to be the broader issue for the entire industry per se.

Tata Consultancy Services (TCS) share price tumbled 1.78% to Rs 3,545.40 today, a day after the IT major reported 8.7% growth to Rs 11,342 crore in its consolidated net profit in the second quarter of FY24. TCS had reported a profit of Rs 10,431 crore in the same period a year ago. The IT major’s net profit jumped 2.4% on-Quarter. The company also announced a share buyback for Rs 17,000 crore at a price of Rs 4,150 a share on October 11, 2023. TCS stock price has slipped 0.71% in the last one month and has surged over 14% in the past one year.

(Exciting news! Mint is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest financial insights! Click here!) On Wednesday, TCS posted a 2.4% QoQ rise in its consolidated net profit for the second quarter of FY24 to ₹11,342 crore. The IT major’s consolidated revenue from operations rose 0.5% to ₹59,692 crore in Q2FY24, from ₹59,381 crore, QoQ.

Tata Consultancy Services (TCS) was also a part of this recovery. The stock has gained almost 15 percent in the last 1 year and 9 percent in 2023 YTD. In comparison, the Nifty IT index has gained over 16 percent in the last 1 year and over 12 percent in 2023 YTD.

₹3,679 apiece after its board proposed a buyback plan. A buyback is a way of rewarding shareholders where a company buys back its shares usually at a premium to current prices. On 11 October, along with its September quarter (Q2FY24) earnings, the company announced a buyback of ₹17,000 crore for ₹4,150/share, a premium to Wednesday’s closing price of ₹3,609.90 per share on the NSE.

Domestic benchmark index NSE Nifty fell 2.65 points to 19814.0, while the BSE Sensex traded 11.03 points down at 66462.02. On the other hand, Sical Logistics, MMTC, MOIL, GHCL Textiles and TPL Plastech stocks hit their fresh 52-week highs today.

Jyotivardhan Jaipuria, Founder & MD, Valentis Advisors, says “we were negative on IT for the last 18 months. We have not owned a single IT share. But it is now coming on our screen. We typically look at stocks which are non-consensus. We are still not buying IT but if we get a major price cut on some bad news, then we will probably start nibbling into it. It would be probably too late to sell and maybe too early to buy but you want to buy this on some bad news.” We were seeing a bit of consolidation in the last couple of days but there is a bit of a spike as well and a lot of global headlines. How are you approaching the markets right now? Putting money to work or keeping the powder dry? For us, for the last few months we have been saying that the market is going to be in a consolidation phase. We probably had a price correction and more particularly will see a time correction. The largecaps have been like that. In the last three months, the largecaps have done nothing. They are more or less flattish, slightly down and it is the small and midcap space which have done well so far. But a consolidation is due in that space. We have some cash in the portfolio and we are keeping the powder dry in case there is a correction, but otherwise we are 85% invested.

Infosys, SBI, and HDFC Bank. The BSE Sensex was trading 60 points or 0.09% higher at 66,532. Nifty50 was trading at 19,832, up 21 points or 0.11% at around 9.20 am. From the Sensex pack, IndusInd Bank, Tata Motors, SBI, NTPC, and Axis Bank opened with gains, while TCS, Tech Mahindra, Bajaj Finance, and Bharti Airtel opened with cuts. TCS fell over 1% in the early trade after India's top IT firm reported weaker-than-expected second-quarter revenue and flagged weakness in client spending.

Tata Consultancy Services Ltd (TCS) reported a net profit of ₹11,342 crore in the September quarter, registering a growth of 8.7 per cent, compared to ₹10,431 crore in the corresponding period last year. Sequentially, the consolidated net profit was up 2.4 per cent as the IT major reported a profit of ₹11,074 crore in the preceding June quarter.

GIFT Nifty on the NSE IX traded 16 points, or 0.08 per cent, higher at 19,846, signaling that Dalal Street was headed for positive start on Thursday. Here's a slew of stocks that will be in focus today for various reasons. TCS IT major TCS reported 9% growth in its net profit to Rs 11,342 crore.

MUMBAI : Tata Consultancy Services (TCS) Ltd kick-started the fiscal second-quarter earnings season for the technology services industry on a disappointing note, with both revenue and profit falling short of analysts’ expectations. Worryingly, TCS’s dollar revenue slip in the September quarter comes on the back of a 0.4% sequential growth in the preceding three months, implying that the country’s largest technology services company added $779 million in incremental revenue in what is a seasonally strong first six months of the fiscal year. This translates into a 5.7% dollar revenue growth in the April-September period for TCS.