Tata Consultancy Services has reported above-estimate profits of Rs.5,314 crore for the December quarter, but consolidated sales at Rs.21,294 crore were slightly lower than estimates. Brokers polled by NDTV had estimated India's biggest outsourcer to report a net profit of Rs. 5,202 crore on sales of Rs. 21,375 crore.
Dollar revenue, the key parameter for outsourcers which earn a majority of their revenues from the US, rose 3 per cent against estimates of 3.5 per cent. The company had reported 5.4 per cent sequential jump in dollar sales in the previous quarter.
TCS grew faster than Infosys, which reported 1.7 per cent rise in dollar revenues during the same period. Infosys had reported its Q3 numbers last week.
However, Mumbai-based TCS underperformed HCL Tech, which reported a 4 per cent rise in dollar sales earlier in the day.
TCS' operating margins dipped marginally to 29.8 per cent as against 30.2 per cent in the September quarter. This is likely to be viewed negatively as Infosys managed to beat margin estimates last week.
Volumes grew by 1.8 per cent in the quarter, while realizations (pricing) rose by 74 basis points, TCS said.
On the whole, the Street would be slightly disappointed with these numbers. However, it's important to note that the fiscal third quarter is supposed to be tepid for outsourcers because of lesser working days (at client sites) and year-end shutdowns in US and Europe.
The company also announced a dividend of Rs. 4 per share. TCS shares closed 0.12 per cent lower at Rs. 2,351.35 on the BSE today against a 0.56 per cent rise in the broader IT benchmark.
Dollar revenue, the key parameter for outsourcers which earn a majority of their revenues from the US, rose 3 per cent against estimates of 3.5 per cent. The company had reported 5.4 per cent sequential jump in dollar sales in the previous quarter.
TCS grew faster than Infosys, which reported 1.7 per cent rise in dollar revenues during the same period. Infosys had reported its Q3 numbers last week.
However, Mumbai-based TCS underperformed HCL Tech, which reported a 4 per cent rise in dollar sales earlier in the day.
TCS' operating margins dipped marginally to 29.8 per cent as against 30.2 per cent in the September quarter. This is likely to be viewed negatively as Infosys managed to beat margin estimates last week.
Volumes grew by 1.8 per cent in the quarter, while realizations (pricing) rose by 74 basis points, TCS said.
On the whole, the Street would be slightly disappointed with these numbers. However, it's important to note that the fiscal third quarter is supposed to be tepid for outsourcers because of lesser working days (at client sites) and year-end shutdowns in US and Europe.
The company also announced a dividend of Rs. 4 per share. TCS shares closed 0.12 per cent lower at Rs. 2,351.35 on the BSE today against a 0.56 per cent rise in the broader IT benchmark.
0 comments:
Post a Comment