TCS Q1 Review - Result Inline; Commentary Stays Confident On Sustained Traction: Dolat Capital
Signage for Tata Consultancy Services Ltd. is displayed outside the company’s headquarters in Mumbai, India,

TCS Q1 Review - Result Inline; Commentary Stays Confident On Sustained Traction: Dolat Capital

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Dolat Capital Report

Tata Consultancy Services Ltd. reported revenue growth of 2.4% QoQ in constant currency terms (our estimate: 2.9%) led by broad-based growth across verticals except regional markets wherein revenues declined due to postponement of deal execution.

Operating profit margin declined by 133 basis points QoQ to 25.5% (our estimate:25.5%) on account of wage hikes and gradual normalisation in discretionary under selling, general and administrative.

Announced dividend of Rs 7 per share.

Signed strong deal total contract value wins worth $8.1 billion (up 17% YoY) taking trailing twelve months TCV to $32.7 billion implying 1.41 times revenue coverage.

The strong revenue coverage is also led by higher share of cloud based transformation deals that have slightly longer tenor.

Click on the attachment to read the full report:

Dolat Capital TCS Q1FY22 Result Update.pdf

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