TCS revises hiring plans

  
Tata Consultancy Services (TCS), country's largest IT services exporter, is considering accelerating its hiring plans after beating quarterly profit expectations on increased demand from financial clients and in Europe. 

Companies such as TCS have stepped up efforts to increase their market share in continental Europe in recent years to reduce dependence on the United States, which is by far the biggest market for country's $108 billion IT services industry. 

TCS and rivals such as Infosys and IBM won a record $6 billion of IT contracts in the three months to September 30, according to the Information Services Group consultancy, partly driven by IT outsourcing by European companies looking to cut costs. 

Continental Europe contributed 11.2% of TCS revenue for the quarter, against 9.7% in the same period last year. 

"Our pipeline is good, and I think from here we need to look at scaling in Europe," TCS chief executive N Chandrasekaran told reporters after the company posted consolidated net profit for the quarter up 34% year on year to Rs 47 billion ($760 million). 

That compared with an average of 44.7 billion rupees in estimates by 27 analyst, according to Thomson Reuters I/B/E/S. 

TCS, which employs 285,250 people, is on track to hit its gross hiring target of 45,000 to 50,000 staff for the financial year to March 31 and would consider going beyond that figure, said head of human resources Ajoyendra Mukherjee. 

"We're quite positive, so we may increase hiring numbers," CEO Chandrasekaran added. 

Shares in the company, country's largest company by market value, hit a record high on Monday in expectation of the earnings announcement after the stock market close on Tuesday. The shares were little changed on Tuesday, finishing the day at Rs 2,215.40. 

TCS's operating margin rose to a record 30.1%, with the rupee's decline against the dollar lifting the margin by three percentage points. The bulk of the company's contracts are in dollars. 

The financial sector accounted for 43.1% of the company's quarterly revenue, up from 42.8% a year earlier. 

On Friday Infosys, country's second-largest IT services provider, said that improving macroeconomic conditions augured well for client spending on IT outsourcing and raised the lower end of its revenue forecast range.

Comments

Post a Comment

Popular posts from this blog

Image
Google's Perks Are So Amazing, Employees Have Found Ways To Secretly Live On Campus And Avoid Paying Rent 47 TWITTER IPO PRICED AT $26 PER SHARE Apple Shares Up More Than 2% As iPhone Announcement Begins Why bother paying rent when you can shower, eat, work-out, do laundry and sleep at your office? Google perks are so good, some employees say they've spent weeks living on campus to avoid paying rent, according to a Quora thread. " Technically, you weren't supposed to live at the office, but people got around that by living in their cars in the parking lot of the office or the Shoreline parking lot," one Googler writes. "[One] guy lived in the camper for 2-3 years. Showered at the gym. Did his laundry on campus. Ate every meal on campus he could. After the 2-3 years, he had saved up enough money to buy a house." Former Google designer Brandon Oxedine says he lived on Google's campus for 3 months in 2013. " I was in a ...
Read more

Mobile Internet Age: Your smartphone knows everything

Image
Mobile Internet Age: Your smartphone knows everything Ads are evolving from blaring TV spots to nudges from smartphones that know where we are, what we like and what we might be in the mood for. The transformation promises to pick up speed thanks to internet-linked eyewear or watches and technology that lets gadgets whisper in ears like personal assistants eager to please. Internet search colossus Google and leading social network Facebook this week reported earnings that soared on the wings of revenue from ads delivered on smartphones or tablets. The bounce was particularly telling at Facebook, shares of which were hammered after they hit the market in 2012 on fears the Silicon Valley company would not be able to make money from surging ranks of members connecting via mobile devices. As Internet Age lifestyles shift to being online while on the move, the pressure is on Google, Facebook, Microsoft and others to creatively cash in on people with much less screen s...
Read more
Image
Prem Watsa confident of BlackBerry deal Add caption Fairfax Financial chief executive Prem Watsa said he is confident the consortium he leads can find the money to fund its $4.7 billion bid for smartphone maker BlackBerry. "We wouldn't put our name to such a high-profile deal if we didn't feel confident that at the end of the day that our due diligence would be fine and we'd be able to finance it," Watsa said in an interview. The Canadian-led consortium put in its $9 a share bid for BlackBerry on Monday, arguing that the troubled company would have better chances as a private entity, away from Wall Street's constant gaze. The company pioneered mobile email communications but has lost ground to Apple iPhone and other snazzier rivals, BlackBerry shares closed a full dollar below the bid price on the Nasdaqon Wednesday, indicating that investors were skeptical the deal would succeed. The stock edg...
Read more