TCS Q4FY25 results: Net profit falls 1.7% to ₹12,224 cr, dividend declared

TCS Q4 FY25 results: The board of directors has recommended a final dividend of ₹30 per equity share

India’s largest IT services firm Tata Consultancy Services (TCS) on Thursday reported a 1.69 per cent decline in consolidated net profit for the quarter that ended on March 31, 2025 (Q4 FY25), at ₹12,224 crore year-on-year. During the same period last year, the company had declared a net profit of ₹12,434 crore. 

Consolidated revenue for the January-March quarter rose marginally by 5 per cent to ₹65,507 crore from ₹62,394 crore Y-o-Y. 

TCS reported earnings before interest and tax (EBIT) of ₹15,601 crore for the quarter, reflecting a marginal decline of 0.6 per cent. The EBIT margin stood at 24.2 per cent, indicating a slight contraction in profitability. 

The total contract value (TCV) of TCS' order book reached $12.2 billion, up from $10.2 billion in Q3FY25. In Q1 and Q2, the TCV stood at $8.3 billion and $8.6 billion, respectively. 

Commenting on the results, CEO and MD K Krithivasan said, “We are pleased to cross the $30 billion in annual revenues and achieve a strong order book for the second consecutive quarter. Our expertise in AI and digital innovation, coupled with the unmatched knowledge of customer context and global scale, makes us the pillar of support for our customers in this environment of macroeconomic uncertainty. We remain committed to staying close to our customers and helping them achieve their core priorities.”

 

 

Regional performance

Regional performance varied significantly, with the United States division witnessing a 1.5 per cent decline quarter-on-quarter. The UK business suffered a sharper drop of 4 per cent , while the European Union saw the steepest decline at 6.4 per cent. In contrast, the Indian market showed robust growth, expanding by 8.2 per cent  during the quarter. However, the Asia-Pacific region recorded a decline of 4.2 per cent.

 

TCS: Full-year performance 

For the entire financial year 2024-25, TCS reported a net profit of ₹48,553 crore, marking a 5.76 per cent increase compared to ₹45,908 crore in FY24. Total income for the year stood at ₹2,59,286 crore, reflecting a 5.69 per cent rise from ₹2,45,315 crore in the previous financial year.

 

TCS dividend declared

 

The board of directors has recommended a final dividend of ₹30 per equity share, each with a face value of ₹1. The dividend, which is subject to shareholder approval, is set to be paid or dispatched on the fifth day following the conclusion of the company’s 30th Annual General Meeting.