TCS continues to amaze, this is what has happened now

At a day when global markets were on a tear, following US imposing tariffs on additional $200 billion of Chinese goods, Tata Consultancy Services (TCS), an index heavyweight stock, supported the benchmark indices with the Sensex and Nifty trading higher. 

TCS share price rallied as much as 3.13 per cent to Rs 1935.90, its all-time high level after the IT major reported record profit in the June quarter of FY19. The stock was the top gainer on Sensex and Nifty. 

The company reported Rs 7,340 crore consolidated net profit in Q1, registering 23.5 per cent annual and 6.3 per cent sequential growth.

In a regulatory filing on the BSE, the Mumbai-based IT firm said consolidated revenue for the quarter (Q1) under review grew 15.8 per cent annually and 6.8 per cent quarterly to Rs 34,261 crore.

Under the International Financial Reporting Standard, net income grew 17.2 per cent year-on-year to $1.1 billion and revenue 10 per cent to $5.1 billion for the first quarter.

"Revenue from North America market grew highest in the last 12 quarters or three years by 7 per cent annually and 3.7 per cent quarterly on recover from banking, financial services and insurance (BFSI) and retail," said TCS in a statement here.

Operating margin remained flat at 25 per cent as in the previous quarter (25.4 per cent).

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"Digital business contributed 25 per cent to the overall revenue and grew a whopping 44.8 per cent YoY," it added.

The company added 2 new clients in $100 million billing rate and 13 clients in $5 million band sequentially.

"We have started the new fiscal year on a strong note, with the growth engine firing on all cylinders. We had good wins, a robust pipeline and accelerating digital demand," said TCS Chief Executive Rajesh Gopinathan in the statement.