New Delhi: IT major, Tata Consultancy Services (TCS) on Wednesday reported net profits up by 16.83 per cent year-on-year (YoY) to Rs 11,074 crore for the June quarter as compared to Rs 9,478 crore with the corresponding period a year back.

The analysts predicted profit growth of 15-20 percent.

Revenue for the first quarter of FY23 stood at Rs 59,381 crore, up 12.55 YoY from Rs 52,758 crore in the same period a year back. With the rise in profits, the board of the company declared an interim dividend of Rs 9 per share with a face value of Re 1 per share.

The announced interim will be distributed on August 7, to its equity shareholders, whose names will be present on the registers of members of the company or in the records of the depositories as beneficial owners of the shares as on July 20, which is the record date, TC said in its BSE filing.

The EBIT margin for the quarter stood at 23.1 per cent, up by 10 bps YoY.

On Tuesday, the company’s shares ended low at Rs 3,259.90, down by 0.38 per cent at the Indian bourses.

With the hike in profits, the company rolled out its annual salary hikes across its workforce which stood at 6,15,841 at the end of the quarter. Rollout is to be applied with effect from April 1, 2023.

Chief Executive Officer and Managing Director K Krithivasan said: “It is very satisfying to start the new fiscal year with a string of marquee deal wins. We remain confident in the longer-term demand for our services, driven by the emergence of newer technologies. We are investing early in building capabilities at scale on these new technologies, and in research and innovation, so we can maximize our participation in these opportunities.”

(Written by Mahek Nigam,
Edited by Prateek Gautam)