India's TCS announces 29 pct quarterly profit jump

Oct 16, 2009

India's biggest software services exporter, TCS, reported Friday that its quarterly net profit rose by 29 percent as the company sealed more deals in a better global business environment.

Net profit for , widely known as TCS, in the second quarter ending September increased to 16.24 billion rupees (351 million dollars) from 12.62 billion rupees a year earlier.

Revenues rose three percent to 74.3 billion rupees, according to US accounting norms, the company said in a statement.

TCS shares rose 14.75 rupees, or 2.63 percent, to 599 rupees on the ahead of the earnings announcement, which beat market expectations.

"This was a very satisfying performance as we saw strong volume growth," said N. Chandrasekaran, TCS' new chief executive, who took over from S. Ramadorai earlier this month. "We are seeing an improvement in market conditions."

India's outsourcing sector was hurt by the global that hit spending by customers.

But TCS, part of India's giant tea-to-telecommunications Tata Group, added 300 employees during the three months.

Chandrasekaran said the company would monitor foreign exchange movements against the backdrop of a sharp rise in the rupee.

"We are monitoring our forex exposure and making adjustments accordingly," he said.

The Indian currency is at a near one-year high against the dollar at 46.2 to the dollar, data showed Friday.

Appreciation of the rupee against the dollar hits India's outsourcing industry hard.

Work farmed out to Indian companies, which account for around 50 percent of the world's outsourcing market, includes answering calls by bank customers, processing credit-card applications and insurance claims and equity analysis.

TCS counts such companies as General Electric and General Motors among its clients.

(c) 2009 AFP

Explore further: Why the Sony hack isn't big news in Japan

add to favorites email to friend print save as pdf

Related Stories

India's Infosys posts profit dip on slowdown

Apr 15, 2009

India's Infosys Technologies said Wednesday its consolidated net profit for the fiscal fourth-quarter rose 29 percent from a year earlier, but fell sequentially due to the global slowdown.

Recommended for you

Why the Sony hack isn't big news in Japan

9 hours ago

Japan's biggest newspaper, Yomiuri Shimbun, featured a story about Sony Corp. on its website Friday. It wasn't about hacking. It was about the company's struggling tablet business.

Sony faces 4th ex-employee lawsuit over hack

14 hours ago

A former director of technology for Sony Pictures Entertainment has sued the company over the data breach that resulted in the online posting of his private financial and personal information.

Sony tells AFP it still plans movie release

15 hours ago

Sony Pictures boss Michael Lynton denied Friday the Hollywood studio has "caved" by canceling the release of "The Interview," and said it still hoped to release the controversial film.

2012 movie massacre hung over 'Interview' decision

Dec 19, 2014

When a group claiming credit for the hacking of Sony Pictures Entertainment threated violence against theaters showing "The Interview" earlier this week, the fate of the movie's big-screen life was all but ...

Clooney slams skittish Hollywood after Sony hack

Dec 19, 2014

Film star George Clooney slammed the Hollywood movie industry for failing to stand up against the cyber threats that prompted Sony Pictures to cancel release of the movie "The Interview."

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.