TCS Q2 results: Net profit rises 15% to Rs 13,884 crore, revenue up 11%

Tata Consultancy Services (TCS), India's leading IT services firm, announced a 15% increase in net profit to Rs 13,884 crore for the Q2 period, driven by robust growth across international markets and surging demand for artificial intelligence services. The company's revenue from operations climbed 11.22% year-on-year to Rs 73,188 crore, with sequential growth of 1.3% from the previous quarter.

Operating and net margins stood at 24% and 19%, respectively. TCS's artificial intelligence revenue crossed the $3 billion mark, accounting for over 10% of total revenue. Key growth sectors included banking, financial services and insurance (BFSI), manufacturing, and technology and services, all experiencing double-digit growth.

The company added 4,258 employees on a net basis, bringing its total workforce to 5,98,056 as of September 30. TCS also disclosed a second interim dividend of Rs 12 per equity share for FY27, payable on October 30. The company unveiled a five-year strategic partnership with Porsche AG and a deal to transform Best Buy's India-based Global Capability Centre into an AI Capability Centre, showcasing its commitment to AI-driven transformation.

TCS CEO K Krithivasan attributed the company's performance to broad-based international market growth and strong industry segment results, emphasizing the significance of the AI and transformation partnerships for the future.