Shares of Tata Consultancy Services (TCS) on Monday climbed over 1.50 per cent after the IT services major reported a 9 per cent growth in net profit at Rs 12,434 crore in the January-March quarter of FY24 due to strong domestic business even as the company struggled in its key markets overseas.
The stock gained 1.56 per cent to Rs 4,063 on the BSE.
On the NSE, shares of the company climbed 1.56 per cent to Rs 4,064.20.
Its market valuation zoomed by Rs 7,489.44 crore to Rs 14,54,832.99 crore amid rally in the stock.
The company’s earnings were announced post-market hours on Friday.
In the entire fiscal year, the Tata Group company’s net profit surged 9 per cent to Rs 45,908 crore, while the revenue went up to Rs 2,40,893 crore from Rs 2,25,458 crore a year ago.
North America, the biggest market by geography, reported a 2.3 per cent dip in revenues, while continental Europe, the third biggest, witnessed a 2 per cent decline in revenues during the latest January-March period.
However, its domestic business, which saw nearly 38 per cent growth in revenues, helped the company post a 3.5 per cent growth in revenues to Rs 61,237 crore during the quarter.
TCS chief executive and managing director K Krithivasan told reporters that uncertainties are hampering growth in North America and the largest sector of banking, financial services, and insurance, but exuded confidence that things are bottoming out and growth should return.
”It is difficult to say when growth will return… but FY25 will be better than FY24,” Krithivasan said, adding that though he is not disappointed with the performance, an additional growth of up to 1 percentage point would have made him happier.
