TCS: Q2FY23 Result Update
|
Results |
INR Cr. |
Y-o-Y Growth |
Comments |
|
Revenue |
55,309 |
18.0% |
Growth led by Retail & CPG (22.9%), Communication & Media (18.7%) and Life Sciences & Healthcare (14.5%) |
|
EBIT |
13,279 |
10.7% |
Margin came in at 24% (+90bps) primarily due to currency depreciation and higher utilization |
Key Highlights:
- TCV of new deals won during the quarter was $8.1bn, an increase of 6.5% YoY but lower than past 12-month quarterly average of $8.6bn.
- $100+mn clients up by 5, $50+mn clients up by 10, $10+mn clients up by 38 and $1+mn clients up by 72 YoY
- Total headcount at 616,171; net additions were 9,840; LTM attrition at 21.5%
- Company has declared an interim dividend of Rs.8/share
Management Outlook:
- Management expects normal seasonal weakness in demand in Q3 in USA while the situation is volatile in Europe. It added that the demand situation is robust though it has slowed down from the highs of FY22.
- The company is eyeing an EBIT margin of 25% by Q4FY23 and further margin expansion FY24 onwards.
- It expects employee attrition to have peaked in this quarter and going ahead will moderate.
Disclosure:
MoneyWorks4me's employees may have exposure in the securities mentioned in the above report.
For detailed disclosure click here
.
