2017 First Quarter April - June Results - TCS net profit falls 10% to Rs 5,945 crore; fails to meet expectations
Tata Consultancy Services(TCS)posted disappointing financial results on Thursday with its fiscal first-quarter net profit dropping 10% on-quarter to Rs 5,945 crore, falling short of street expectations
TCS CEO Rajesh Gopinathan said that the company had seen steady performance in April-June despite challenging global environment. The IT company recorded over 3.5% growth across all segments barring BFSI and retail, Gopinathan said, adding that BFSI grew at 2.3% during the quarter in constant currency terms. Among the company’s other businesses, Retail & Consumer Products Group’s revenue was up 2%; Lifescience & Healthcare was up 4.7%; while manufacturing was up 3.8% in constant currency terms.
Further, Gopinathan sought to assuage growth concerns, by saying that TCS has a good deal pipeline for growth in the current financial year 2017-18. He added that the company remains optimistic on the deal pipeline even as it expects some volatility in the retail segment, which he said is structurally stressed. TCS said it added 8 clients in above $1 million band, and 12 in above $10 million band