TCS shares up nearly 3 pc on better-than-expected earnings

Shares of TCS today ended nearly 3 per cent higher after the country's largest software exporter posted better-than-expected earnings in the June quarter.
Boosted by the smart earnings, TCS's shares settled 2.58 per cent higher at Rs 2,442.65 on the BSE. During the day, it rose by 4.4 per cent to Rs 2,486.
At the NSE, it jumped 2.65 per cent to end the day at Rs 2,445.
The bellwether stock was the top gainer among the 50-blue-chip Nifty scrips.
"TCS's June quarter results kept the promise on growth," said Manik Taneja, Research Analyst, Emkay Global Financial Services.
TCS had yesterday posted a 45 per cent jump in June quarter net profit at Rs 5,568 crore, helped by a broad-based revenue growth and one-time impact from a change in depreciation computation.

The city-headquartered company had posted a net profit of Rs 3,840 crore under the IGAAP system of accounting for the corresponding period last year.

"It has been a very well rounded, broad-based growth across the board," TCS Chief Executive and Managing Director N Chandrasekaran said.
On the outlook front, he had said the scenario is panning out as per its expectation and added that he maintains the performance in the current fiscal will be better than FY2013-14.
"TCS announced better-than-expected results for Q1 FY2015," said Sarabjit Kour Nangra, VP Research - IT, Angel Broking.
Buying was also seen in other IT stocks, with Wipro gaining 1.83 per cent, Infosys was up (0.31%), HCL Tech (2.23%) and Hexaware Tech (1.33 per cent).

Led by the gains in these stocks, the BSE IT index ended at 9,400.51, up 1.43 per cent.
Rally in TCS was significant in sending the BSE benchmark Sensex higher by 80.40 points to settle to 25,641.56.