TCS share price closes 2.42% lower ahead of Q1 earnings

Tata Consultancy Services (TCS) share price closed lower ahead of the IT behemoth set to announce its Q1 earnings later in the day. TCS share price ended 2.42% or 52 points lower at 2123.40 level compared to the previous close of 2,176 on BSE.

TCS share price fell up to 4% to 2090 level on BSE today.

TCS share price has gained 12.79% since the beginning of this year and gained 13.14% during the last one year.

Kotak Securities expects TCS to report net profit at Rs 7,818.3 crore, a fall of 3.8% quarter-on-quarter (up 6.5% year-on-year). The IT company posted a 17.7 per cent year-on-year growth in its consolidated net profit at Rs 8,126 crore in Q4 of previous fiscal. Revenue for the quarter climbed 18.5 per cent to Rs 38,010 crore from Rs 32,075 crore in the corresponding period last fiscal.

Net sales are likely to rise by 1.4 percent quarter-on-quarter (up 12.5 percent Y-o-Y) to Rs 38,559.2 crore, according to Kotak.

Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to fall by 1.4 percent Q-o-Q (up 9.6 percent Y-o-Y) to Rs. 9,401.5 crore.

Meanwhile, Sensex and Nifty closed flat in trade today. While Sensex closed 10 points higher at 38,730 , Nifty fell 2.70 points to end at 11,555 level.

Edited by Aseem Thapliyal