TCS drops after Q4 earnings

The company announced Q4 results after market hours on Wednesday, 17 April 2013.

Meanwhile, the S&P BSE Sensex was up 50.51 points or 0.27% at 18,781.67.

On BSE, 86,000 shares were traded in the counter as against average daily volume of 1.33 lakh shares in the past two weeks.

The stock hit a high of Rs 1,485 and a low of Rs 1,435.05 so far during the day.

TCS clocked volume growth of 4.4% on sequential basis in Q4 March 2013.

TCS' net profit jumped 33.6% to Rs 13917 crore on 28.8% growth in revenue to Rs 62989 crore in the year ended 31 March 2013 (FY 2013) over the year ended 31 March 2012 (FY 2012). The company clocked volume growth of 16.8% in FY 2013 over FY 2012.

TCS said there was balanced growth across markets and industries in FY 2013. All industry verticals grew in double digits in FY 2013, it said. TCS' full service capabilities continue to be leveraged by customers with new service lines growing at a fast pace. The infrastructure services segment grew 47%, business process outsourcing grew 46% while assurance services, enterprise solutions and global consulting grew by 33%, 25% and 52% respectively, TCS said.

Commenting on the FY 2013 results, Mr. N. Chandrasekaran, CEO and MD, TCS, said: "TCS has delivered a year of strong growth with all markets and industry segments growing in double digits. Our ability to co-create with customers, remain relevant to their business and our investments in digital technologies are delivering tangible value as customers optimize, transform and growth".

With regard to the outlook for the current year ending 31 March 2014 (FY 2014), Mr. Chandrasekaran said: "We remain confident that 2013-14 will bring greater opportunities as technology plays an increasing role in reimagining business globally. We continue to identify new growth engines and are investing ahead of the curve in products, platforms and intellectual property that is of great relevance to our customers and their business growth. As an industry leader, we remain focused on sustaining our momentum."

Rajesh Gopinathan, Chief Financial Officer, TCS, said: "Our growth has been well-rounded in FY 2013 and we have endeavored to maintain our profitability despite stiff headwinds and increased volatility through the year. We continue to ensure cost discipline at an operational level while supporting diversified business growth".

TCS' board of directors at a meeting held on Wednesday, 17 April 2013, recommended a final dividend of Rs 13 per share for FY 2013.

TCS is an IT services, consulting and business solutions organization. It offers a consulting-led, integrated portfolio of IT, BPO, infrastructure, engineering and assurance services.

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