Tata Consultancy Services (TCS) is a leading global IT services, consulting, and business solutions company headquartered in Mumbai, India. It is a part of the Tata Group, one of India’s largest and oldest conglomerates. Founded in 1968, TCS offers a wide range of services including software development, IT consulting, business process outsourcing (BPO), and digital transformation solutions.
With a presence in over 50 countries and a workforce of more than 600,000 employees, TCS is known for its innovation, customer-centric approach, and strong global delivery model. It consistently ranks among the top IT services companies worldwide and is one of the largest employers in the Indian IT industry.
In this article we are going to discuss the summary of the management commentary that was delivered on Q4FY25 performance on 10 April 2025.
Annual Financials (FY 2024 vs FY 2025)
| Metric | FY 2024 (Ex Adj) (₹ crore)* | FY 2024 (Reported) (₹ crore) | FY 2025 (Reported) (₹ crore) |
|---|---|---|---|
| Revenue | 240,893 | 240,893 | 255,324 |
| Total Expenditure | 181,582 | 181,582 | 193,159 |
| Operating Income | 59,311 | 58,353 | 62,165 |
| Other Income (Expense), Net | 3,727 | 3,644 | 3,166 |
| Profit Before Taxes | 63,038 | 61,997 | 65,331 |
| Net Profit | 46,585 | 45,908 | 48,553 |
| Earnings Per Share (₹) | 127.74 | 125.88 | 134.19 |
Quarterly Financials (Q4 FY 2024 vs Q4 FY 2025)
| Metric | Q4 FY 2024 (₹ crore) | Q4 FY 2025 (₹ crore) |
|---|---|---|
| Revenue | 61,237 | 64,479 |
| Total Expenditure | 45,319 | 48,878 |
| Operating Income | 15,918 | 15,601 |
| Profit Before Taxes | 16,849 | 16,402 |
| Net Profit | 12,434 | 12,224 |
| Earnings Per Share (₹) | 34.37 | 33.79 |
Segmental Performance
- BFSI grew 2.5%.
- Consumer Business Group declined 2%.
- Life Sciences and Healthcare declined 5.6%.
- Manufacturing declined 2.9%.
- Technology and Services grew 1.1%.
- Communication and Media declined 9.8%.
- ERU (Energy, Resources, and Utilities) grew 4.6%.
- Regional Markets grew 22.5%.
Geographies
- Europe grew 1.4%.
- UK grew 1.2%.
- North America declined 1.9%.
- Middle East and Africa grew 13.2%.
- Latin America grew 4.3%.
- Asia Pacific grew 6.4%.
- India had a growth of 33%.
Industry-Leading Portfolio of Products and Platforms
The company’s expanding suite is doing well in the marketplace. Ignio, company’s cognitive automation software suite, saw 30 new deal wins and 11 go-lives. Ignio has introduced Code Accelerator, an advanced GenAI-powered tool designed to automate code generation and transformation, significantly reducing time to value for customers. This feature has already been deployed across more than 80% of our SaaS customers, boosting productivity by 150%.
TCS BaNCS, the flagship product for financial services, continued its leadership with four wins and four go-lives during the quarter. The primary drivers for core transformation in the banking sector include data harmonization, real-time analytics, compliance and monitoring, and a unified customer experience.
TCS Ion, platform for digital assessment, digital marking, exam administration, and learning hub, had 35 new wins and took 75+ platform capabilities live. The assessment platform administered in-center exams for over 21 million candidates and remote assessments for more than 82,000 candidates.
TCS OmniStore, the AI-powered universal commerce suite, had two deal wins and three go-lives during the quarter. A leading American healthcare company selected TCS OmniStore to modernize customer journeys.
Macroeconomic Environment
The company saw a second consecutive quarter of very strong TCV, which consisted of a good mix of large, medium, and small deals, boding well for future revenue visibility.
The company is seeing TCV improvement across markets as clients prioritize initiatives around technology modernization, cost optimization, vendor consolidation, operational model transformation, risk, and compliance.
The company have seen instances of delays in decision-making, and discretionary spend has come under heightened scrutiny and pressure recently.
performance during the quarter and outlook for key verticals:
- BFSI: Clients continue to focus on initiatives led by tech modernization, cost optimization, and vendor consolidation.
- Consumer Business: Saw heightened caution and delays in discretionary projects, especially in the US.
- Life Sciences and Healthcare: Deals are taking longer to close, with growth programs being postponed or timelines reassessed.
- Manufacturing: Auto industry is facing uncertainties due to EV downturn and turbulence in the ICE market.
- Energy, Resources, and Utilities: Continues to grow well, with a strong pipeline of opportunities.
AI
The company’s strategy on AI and data is focused on three clear pillars: relevance, scale, and trust.
The company is investing deeply in industry-specific AI and data solutions, building scale through strategic partnerships, and emphasizing responsible AI and data governance.
Human Resources
TCS’ workforce stood at 607,979 as on March 31st. The employee base has 35.2% women and with 152
nationalities.
Year till date, TCSers have clocked 56 million learning hours, and acquired 5.2 million competencies. IT
services’ attrition was at 13.3% for the last twelve months.
TCS Deal Wins during the Quarter
- Announced strategic partnership with Google Cloud to enhance its AI and GenAI offerings for customers
in the communication, media, and information services industry.
- Signed an agreement to modernize the depository system of Muscat Clearing and Depository (MCD),
Oman’s central securities depository.
- Partnered with The Cumberland Building Society in the UK to modernize its core banking ecosystem.
- Signed an agreement to drive end-to-end IT transformation of UPM, a global company with a business
portfolio of decarbonization solutions, advanced materials, renewable fibres, and communication
papers, based on sustainable, renewable feedstock.
- Announced collaborative engagement with MassRobotics, the largest independent robotics hub in the
world dedicated to advancing robotics and connected devices.
- Extended partnership with DNB Bank ASA and will continue as latter’s strategic partner and support the
digital modernization journey while enhancing cost efficiency targets.
- Signed a five-year partnership with Air New Zealand to modernize the airline’s digital infrastructure and
position it at the forefront of AI-driven innovation.
- Partnered with Vantage Towers, Europe’s second-largest telecom tower operator with a network of
86,000 sites, to launch a digital service platform aimed at transforming the experience of property
owners that lease land for telecom tower installations.
- Expanded deal with Northern Trust, a global financial institution, to centralize and standardize its custody
operations across 99 direct and global markets by deploying its comprehensive TCS BaNCSTM Global
Securities Platform.
- Expanded strategic partnership with a leading German automotive financial services company to
modernise and optimise the latter’s platform operations.
- Selected by a leading US payment services firm as a strategic partner to integrate and build synergies
within its print and remittance services. As part of the engagement, TCS will help the client transform the
legacy environment, reduce PCI vulnerability, improve infrastructure availability, while ensuring
enhanced operational efficiency and lower cost.
- Selected by Avianca, one of Latin America’s leading airlines, TCS will continue supporting the digital
transformation process that began seven years ago.
- TCS and Olympus have extended their strategic partnership for another five years to deliver IT application
services across the U.S. and EMEA regions, along with IT infrastructure services in EMEA.
- Selected by a large US based consumer finance company focused on vehicle finance to future-proof the
IT function and build a resilient framework through vendor consolidation and application simplification.
- A leading multinational QSR chain has selected TCS as the strategic partner for transforming and
managing its IT landscape and operations.
- A leading innovative manufacturing company has selected TCS as the S/4 HANA rollout partner for their
plants in the Americas and APAC region.
- A large North American convenience retailer has selected TCS’ AI powered Clever Energy™ to accelerate
their net zero journey.