TCS, India's largest IT services firm, kicked off the results season on Thursday by announcing a 28.5 percent growth in Q1FY22 net profit of 9,008 crores, up from 7,008 crores the previous quarter.
In the June quarter, the company's revenue from operations climbed by 18.5 percent to 45,411 crores, up from 38,322 crores the previous fiscal quarter.
Analysts predicted a net profit increase of up to 36% year over year. From Rs 38,322 crore in June 2020, total revenue increased by 18% to Rs 45,411 crore.
In addition, the business declared an interim dividend of Rs 7 per share. With the highest-ever quarterly net addition of 20,409 individuals, the company's employment surpassed 500,000 at 509,058.
TCS Chief Executive Officer and Managing Director Rajesh Gopinathan stated the company's employees had shown exceptional character in assisting one another, giving back to communities, and keeping promises to clients.
"On that backdrop, our business in North America, BFSI and Retail all showed an appreciable growth which underlines the resilience of our operating model, relevance of our offerings and above all, the passion and dedication of our associates," he said in a statement.
The IT giant also stated that the Retail and Consumer Packaged Goods (CPG) division returned to double-digit growth, increasing by 4.4 percent quarter over quarter and 21.7 percent year over year. According to TCS, the second wave of the pandemic hindered sequential growth in India and Asia Pacific.
India saw a 14.1 percent sequential drop and a 25.3 percent year-over-year increase, while Asia Pacific saw a 2.4 percent quarterly increase and a 9.3 percent year-over-year increase.
Strengthening demand across growth and transformation themes, according to the IT firm, fueled increased demand across several service lines. "Cloud platform services, cyber security, analytics & insights, and enterprise application services drove growth in the quarter."
TCS shares ended at Rs 3,253, down Rs 21.95, or 0.67 percent, on the NSE on Thursday, ahead of the earnings announcement.