Tata Consultancy Services (TCS), the country's largest software exporter, on Friday reported better-than-expected earnings for the fourth quarter ended March 31, 2019. India's top IT company posted a 17.7 per cent year-on-year growth in its consolidated net profit at Rs 8,126 crore in January-March period.
"The Mumbai-headquartered software exporter had posted consolidated net profit of Rs 6,904 crore in the same quarter a year ago," TCS said in a filing to the Bombay Stock Exchange.
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.
For the financial year 2018-19, net profit rose 21.9 per cent to Rs 31,472 crore against revenue of Rs 1,46,463 crore, registering a year-on-year growth of 19 per cent.
The company's operating profit (EBIT) stood at Rs 9,537 crore, while margin declined at 25.1 per cent.
The board of the company, in their meeting today, recommended a final dividend of Rs 18 per equity share of Rs 1 each of the company which shall be paid on the fourth day from the conclusion of the Annual General Meeting subject to approval of the shareholders of the company.
Commenting on Q4 earnings, TCS Chief Executive Officer and Managing Director Rajesh Gopinathan said: "This is the strongest revenue growth that we have had in the last 15 quarters. Our order book is bigger than that in the prior three quarters, and the deal pipeline is also robust. Despite macro uncertainties ahead, our strong exit positions us very well for the new fiscal."
"Double-digit growth, higher quality of the incremental business, and best-in-class execution capabilities have helped us expand our operating margin year on year. Our foresight in investing very early on in building dIgital skills and transformational capabilities has not only gained us market share, but has also resulted in our very resilient, industry-leading margin Today," said V Ramakrishnan, Chief Financial Officer.
Industry wise, revenue growth continued to accelerate in BFSI, crossing over into double digits at 11.6 per cent. Growth was broad-based, with Life Sciences & Healthcare reporting 18.2 per cent growth, followed by Energy & Utilities (11.3%), Communications & Media (10%), Retail & CPG (9.9%) and Manufacturing (9.2), among others.
Meanwhile, rival Infosys reported consolidated net profit of Rs 4,078 crore during March quarter, while its net sales rose 19.1 per cent to Rs 21,539 crore.
TCS shares closed trade at Rs 2,013.75 apiece, down 0.26 per cent, on the BSE. The scrip touched an intra-day high and low of Rs 2,040 and Rs 2,008.05, respectively.
Edited by Chitranjan Kumar