India's TCS profits rise 12 percent despite flood damage
India's biggest IT outsourcing firm Tata Consultancy Services (TCS) on Tuesday reported stronger than expected quarterly earnings despite the impact of deadly floods in Chennai.
A Bloomberg survey had expected the Mumbai-based firm to increase its profits to 60.1 billion rupees, but strong orders from its major markets of Europe and the United States propelled earnings higher.
"All our industry segments have exhibited growth in a traditionally weak quarter additionally accentuated by the impact of the Chennai floods," TCS chief executive N. Chandrasekaran said in a statement.
The floods at the end of last year killed more than 250 people and swamped the offices of many top IT firms, including TCS competitor Infosys.
Chandrasekaran remained optimistic about future earnings and said the firm had signed nine major deals in the just-concluded quarter, adding 9,071 new employees.
Revenues for the last quarter increased 11.7 percent year-on-year to 273.64 billion rupees.
India has become a back office to the world as companies, especially in developed nations, have subcontracted work to firms such as TCS, taking advantage of the country's skilled English-speaking workforce.
© 2016 AFP