TCS has also recorded record performance in the October-December quarter, considered the most sluggish. Its consolidated revenue increased 4.7% over the September quarter. This is the fastest growth in nine years. Earlier, there was 13.5% growth in October-December 2011. Annual growth was 5.4% in revenue and 7.2% in profit. The company reported a business of Rs 42,015 crore in the quarter. It has a profit of Rs 8,701 crore. It had a profit of Rs 8,118 crore in the December 2019 quarter. TCS Revenue Up 4.7% in December Quarter.
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Strongest Third Quarter in Last 9 Years
This was Rs 39,854 crore in the same period last year. TCS said that this was its highest growth in the December quarter in nine years. Rajesh Gopinathan, chief executive officer and managing director of TCS, said the rising demand for core transformation services and strong revenue from previous deals helped drive the company to one of its best performances in the December quarter. He further said that the company is coming with an optimistic outlook in the new year and its position in the market is stronger than ever.
Recruitment of 15,721 Employees in Three Months
TCS is the largest software services company in the country. In these three months it recruited 15,721 employees. The total workforce of the company has increased to 4,69,261. Women constitute 36.4% of the entire staff. The company has announced a dividend of Rs 6 per share. Its record date is 16 January. That is, those who have shares of the company on this date will get a dividend.
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Corona’s Impact, Business in Healthcare Sector Grew by 18.2%
October, November and December are considered dull months for IT companies. 60 to 70% of their business comes from America and Europe. There are a lot of holidays in this quarter. But after the lockdown due to Corona, business activity increased more in the same quarter. Its effect is visible on the results. The services provided by TCS in the healthcare sector grew the most at 18.2%. Manufacturing has 7.1% growth. The company’s CEO and MD Rajesh Gopinathan said that the company’s business has grown so much due to the old deal.
Operating Margin Highest in 5 Years Due to Work From Home
The company has also benefited from Work from Home. Chief Financial Officer V. Ramakrishnan said that the company’s operating margin was 26.6% due to the ‘Secure Borderless Workspace’, the highest in five years. The company posted a staff salary increase this quarter, despite a record margin. The attrition rate was only 7.6%.
Standalone Profit up by 20%, Highest 18% Growth in Business in India
Standalone profit increased by 20.29% to Rs 9,242 crore. It increased by 24% over the September quarter. Standalone revenue has 8.2% growth. Consolidated figures are extracted by including the business of subsidiary companies in standalone. TCS has 54 subsidiary companies. The company’s business has grown the most in India. The growth here has been 18.1%. It increased 3.3% in North America, 4.5% in England, 2.5% in the rest of Europe, and 3.1% in Latin America.