TCS Q2 Earnings: HR head Kunnumal shares AI vision; no mention of headcount amid layoffs!

Tata Consultancy Services (TCS), India’s largest software services exporter, announced its consolidated financial results for the second quarter of FY26, ending September 30, 2025.

While the company reported modest growth in revenue and profit, investors noticed a key omission: TCS did not disclose its employee headcount for the quarter, an unusual move amid workforce-related developments.

TCS Q2 Update

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For Q2 FY26, TCS posted a consolidated profit of Rs 12,075 crore, up just 1.4 per cent year-on-year from Rs 11,909 crore in the same quarter last year.

Consolidated revenue from operations rose 2.4 per cent YoY to Rs 65,799 crore, compared to Rs 64,259 crore in Q2 FY25.

The numbers reflect steady but cautious growth as global IT markets contend with challenges like the H-1B visa fee hike and subdued discretionary spending from clients in the US and Europe.

TCS Q1 Headcount Update

While TCS’s Q2 results highlighted financial performance, the company did not report fresh headcount figures, leaving investors to refer to Q1 FY26 (April–June 2025) numbers.

In that quarter, TCS had added 5,090 employees, taking its total workforce to 613,069, with an LTM attrition rate of 13.8 per cent.

This omission is particularly noteworthy given the company’s announcement earlier this year to lay off around 12,200 employees, or 2 per cent of its global workforce, across middle and senior grades.

TCS described the decision as “one of the toughest” and said it was aimed at making the company “future-ready and agile” amid rapidly evolving technologies and workplace models.

Severance packages, extended insurance coverage, notice period pay, and placement assistance are being provided to those affected.

What New HR Head Said?

Sudeep Kunnumal, TCS’s newly appointed Chief HR Officer, emphasised the company’s strategic vision, “I am honoured to take over this responsibility as we chart our path to becoming the world’s largest AI-led technology services company. I look forward to working with our employees and all stakeholders as we pursue this exciting vision.”

No Press Conference

TCS’s board also declared a second interim dividend of Rs 11 per equity share of Rs 1 each, with the record date set for October 15, Wednesday.

The company had planned a press conference to announce its Q2 results, but it was cancelled to observe the death anniversary of Ratan Tata, former Chairman of Tata Sons.

The analyst call, however, went ahead as scheduled, providing detailed insights into financial performance and forward-looking plans.