TCS edges past Infy in slow Dec quarter
Mint Mumbai|January 12, 2024
Both firms may see slowest full-year growth in current fiscal year
Shouvik Das Jas Bardia

Tata Consultancy Services (TCS) Ltd grew faster than its closest rival Infosys Ltd in the December quarter and beat profit estimates, even as both IT industry heavyweights remain at risk of clocking some of their weakest growth numbers in 2023-24.

At least a third of TCS's incremental growth in the third quarter was driven by the large contract it secured from state-owned telecom firm Bharat Sanchar Nigam Ltd (BSNL). Excluding that, its performance was only a tad better than that of Infosys, which posted a third straight quarter of muted performance with both revenue and profit falling short of Street expectations.

Also, TCS, the country's largest technology services company, and Infosys, saw their combined workforce decline sequentially by 11,781 in the December quarter. The two companies together accounted for about a fifth of the IT industry's $245 billion revenue in 2022-23.

On Thursday, TCS reported revenue of $7.28 billion for the third quarter, representing a 1% sequential increase and a 2.9% increase from the same period a year earlier. It added $206 million in incremental revenue, of which $84 million came from its India business, a bulk of it from the BSNL contract.

Net profit improved 2.7% sequentially from the September quarter, and by 7% from a year earlier, to $1.41 billion.

This story is from the {{IssueName}} edition of {{MagazineName}}.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

This story is from the {{IssueName}} edition of {{MagazineName}}.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

MORE STORIES FROM MINT MUMBAIView all
7 myths about ADHD and how to handle it
Mint Mumbai

7 myths about ADHD and how to handle it

Some adults with ADHD are misdiagnosed as having anxiety or depression as myths prevail even in the medical community

time-read
4 mins  |
November 12, 2024
Why women bear the brunt of misdiagnosis
Mint Mumbai

Why women bear the brunt of misdiagnosis

Girls are half as likely as boys to be diagnosed correctly as having ADHD, show studies

time-read
2 mins  |
November 12, 2024
At these international marathons, it's ready, steady, swig
Mint Mumbai

At these international marathons, it's ready, steady, swig

Can running and drinking go together? From France to Scotland, here are five races where running is a merry party

time-read
2 mins  |
November 12, 2024
Indian IT firms should brace for Trump's second term
Mint Mumbai

Indian IT firms should brace for Trump's second term

Restrictive visa, trade and other policies under Trump 2.0 may force a review of their US-centric business models

time-read
3 mins  |
November 12, 2024
Freebies don't offer a long-term solution but let us not ban them
Mint Mumbai

Freebies don't offer a long-term solution but let us not ban them

Keeping citizens dependent on handouts is not fiscally sustainable. India needs a transparent framework to regulate them

time-read
4 mins  |
November 12, 2024
Is Nvidia's chief dreaming of selling us R2-D2-like robots?
Mint Mumbai

Is Nvidia's chief dreaming of selling us R2-D2-like robots?

It may turn out to be a good bet if the chip-maker keeps its risks low

time-read
3 mins  |
November 12, 2024
Two ways the EPFO can get itself an image boost
Mint Mumbai

Two ways the EPFO can get itself an image boost

India's state-run retirement fund would do itself a favour by resolving its high level of claim rejections and speeding up interest payments. Its digital makeover should signal efficiency

time-read
2 mins  |
November 12, 2024
Mint Mumbai

Forex card vs debit card: How to lower cross-border markup fees

Unlike debit cards, forex cards are not linked to your bank account, limiting your exposure to fraud and theft

time-read
5 mins  |
November 12, 2024
India must reassess its rejection of the RCEP trade bloc
Mint Mumbai

India must reassess its rejection of the RCEP trade bloc

Joining it can work in our favour as global trade barriers get reshaped and value chains are forged

time-read
4 mins  |
November 12, 2024
Armed hostility between Israel and Iran is very likely to escalate
Mint Mumbai

Armed hostility between Israel and Iran is very likely to escalate

Israel senses a high-risk high-return chance to reshape West Asia that Trump might green-light

time-read
3 mins  |
November 12, 2024