TCS net grows 7 p.c. in Q1

MUMBAI INDIA: Tata Consultancy Services (TCS) has reported a net profit of Rs 1291 crore for the first quarter ended June 30, 2008 with a growth of 7 per cent over the corresponding quarter same year.

For the first quarter, the company’s total revenues stood at Rs 6411 crore, with a growth of 24 per cent year-on-year.

On a sequential basis, revenues have seen 6 per cent growth and net profits are up by 4 per cent.

During the quarter, the company added 8982 employees and its attrition rates stands at 12.8 per cent, including its BPO operations.

At the end of the quarter, the total employee strength was at 116,308 of 64 different nationalities. Out of the total employee strength, 29 per cent are women and foreign nationals formed 9.2 per cent.

The company said its earnings per share for the quarter was at 13.19. The company announced a dividend of Rs 3 per share.

“We have been able to respond to the challenging macro environment and drive growth in the business under tough operating conditions and manage costs. TCS is cautiously optimistic about the rest of the year,” said S Ramadorai, CEO and managing director.

S Mahalingam, CFO and executive director, said: “TCS is focused on extracting greater operational efficiencies through rigorous cost management programs that have helped us hold operating margins steady in Q1 despite the impact of the annual wage increases during the quarter.”