Tata Consultancy Services (TCS) beat quarterly revenue forecasts and projected stronger growth for the second half of the fiscal year, signaling a potential rebound for India’s IT industry.
Revenue rose 2.4% to ₹657.99 billion ($7.4 billion), topping analyst expectations, as gains in the banking and financial services segment offset weakness in other verticals. Profit climbed 1.4% but missed estimates due to severance expenses from a restructuring plan that will trim about 12,200 jobs.
CEO K. Krithivasan said client project delays had eased and that TCS’s AI-driven services were helping restore growth momentum. The company also reported a $10 billion order book, up from $9.4 billion in the prior quarter.
TCS unveiled plans for a 1 GW AI data center to be built in India over the next five to seven years, an investment that could reach $5 billion. Analysts say the project will place TCS among the country’s top data infrastructure players.
