Friday, 18 January 2008

TCS Reports Financials

Tata Consultancy Service (TCS) released its fianacial results for the quarter ending December 31, 2007 reporting revenues at 1.5 billion dollars, up 37% year-on-year and priding itself as being the first Indian IT firm to earn revenues of that proportion in one quarter.

Commenting on the performance, Chief Executive Officer and Managing Director, S. Ramadorai said: “Our diversified business model continues to sustain the growth momentum despite several external challenges. There is growth momentum across geographies with contributions from all business units.”

“The ability to deliver sustained growth in this dynamic environment requires agility, innovation and flawless execution. We are cautiously confident that our geographical footprint, full service offerings and innovative customer engagement models will help us stay on a growth trajectory,” added Ramadorai.

TCS attributed its strong growth to big deal wins across sectors and strong traction for its services coupled with its investments in Latin America, India and the APAC region.

It also said that despite external challenges, the banking and financial services vertical witnessed strong growth in Q3 with the revenue share increasing sequentially. The travel and hospitality as well as the energy and utility verticals also grew faster than the average company growth rate.

“We remain on target to meet our annual hiring plans and have added over 28,000 employees in the current financial year,” said S. Padmanabhan, Executive Director, Human Resources. “In line with our outlook for continued growth, we have already made over 22,000 campus offers for next year.

TCS is the largest IT employer in India with 108,229 employees at the end of Q3. During Q3, there was a gross addition of 7,522 employees. The company continues to maintain the lowest attrition rate in the industry at 12.2%. Foreign nationals formed 8.3% of the total employee base and 28% were women. Forty nine per cent of the employees have over three years of experience.