Infosys pips TCS on Q3 margins

Experts feel TCS has run out of further margin levers and has to deliver consistently on revenue

Both Tata Consultancy Services (TCS) and Infosys delivered in-line set of numbers for the December 2016 quarter (Q3). Expectations from Infosys were already muted given that this quarter witnessed the impact of cancellation of the RBS deal which took away 100 basis points from its revenue growth in the quarter. TCS' numbers on the other hand were boosted by strong growth in the India business. Both companies' outlook for the last quarter of the fiscal too is on similar lines. While Infosys toned down its constant currency revenue growth guidance (at the upper end) for the third time this fiscal,