IT bellwether Tata Consultancy Services (TCS) has reported a 10.8 per cent year-on-year (YoY) growth in net profit at Rs 8,131 crore for the first quarter ended June 30, 2019.
"The country's largest software exporter had posted a net profit of Rs 7,340 crore in the same quarter last year," TCS said in a filing to the Bombay Stock Exchange.
Revenue for the April-June quarter jumped 11.4 per cent YoY to Rs 38,172 crore from Rs 34,261 crore in the same period last year. Revenue growth in constant currency terms stood at 10.6 per cent on a yearly basis.
The Mumbai-headquartered firm said that revenue growth was broad-based across verticals, led by 18.1 per cent growth in Life Sciences and Healthcare segment. The BFSI segment revenue rose by 11.24 per cent, followed by the retail and consumer business (7.9%), communications and media (8.4%), technology and services (7.8%) and manufacturing (+5.5%), among others.
TCS said its operating profit margin stood at 24.2 per cent, while net margin was at 21.3 per cent.
Commenting on the Q1 performance, RaJesh Goplnathan, Chief Executive Officer and Managing Director, said: "We have had a steady start to the new fiscal year. We see customers continuing to spend on their growth and transformation initiatives, and that is showing in our strong order book and deal pipeline this quarter."
He added: "We are benefiting significantly from enterprises investing in customer experience to differentiate themselves in a Business 4.0 world. Our lean forward strategy is working well and our customers are benefiting from the TCS innovation ecosystem. Customers appreciate our end-to-end capabilities, and our holistic approach to transforming customer journeys that enable rapid product Innovation and speed to value."
The company also informed that its board has declared an interim dividend of Rs 5 per equity share of Rs 1 each of the company, which shall be paid on Tuesday, July 23, 2019.
Ahead of earnings numbers, shares of TCS closed 2.05 per cent lower at Rs 2131.45 apiece on the Bombay Stock Exchange.
Edited by Chitranjan Kumar
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