TCS Net Profit Up 12% To Rs 9,769 Crore In Q3

The IT company has announced an Rs 18,000-crore buyback offer for its shareholders at Rs 4,500 per scrip

New Delhi: India’s largest IT services company, Tata Consultancy Services (TCS), on Wednesday clocked a 12.2 per cent rise in its consolidated net profit to Rs 9,769 crore for the quarter ended December 2021 (Q3).

The IT firm has announced an Rs 18,000-crore buyback offer for its shareholders at Rs 4,500 per scrip.

TCS had logged a net profit of Rs 8,701 crore in the year-ago period.

In a regulatory filing, TCS said that revenue of the Mumbai-headquartered firm grew 16.3 per cent in the Q3 to Rs 48,885 crore from Rs 42,015 crore in the corresponding period last financial year.

“Our continued growth momentum is a validation of our collaborative, inside-out approach to our customers’ business transformation needs. Customers love our engagement model, our end-to-end capability, and our can-do approach to problem solving. While mapping out their innovation and growth journeys, we are also helping them execute new-age operating model transformations to support those journeys,” TCS CEO and Managing Director Rajesh Gopinathan said in a statement.

The company has also announced a dividend of Rs 7 per share with the record date being set as January 20, 2022, and the payment date as February 7, 2022.

N Ganapathy Subramaniam, chief operating officer and executive director of TCS, said the company has crossed an important milestone of hitting the $25-billion revenue mark in the calendar year 2021.

TCS Chief Financial Officer Samir Seksaria said, “Our sustained investment in talent has helped us power strong growth despite a challenging supply environment. We remain focused on long-term talent development as well as on tactical measures to mitigate the talent churn.”

The company added 28,238 employees on a net basis, taking the total number of employees to 5,56,986 as on December 31, 2021.

Its IT services attrition rate in the third quarter stood at 15.3 per cent.

TCS Chief HR Officer Milind Lakkad said, “In addition to the 43,000 freshers we hired in H1, we onboarded 34,000 fresh graduates in Q3 which is higher than our full-year fresher hiring numbers in prior years.”