Tata Consultancy Services (TCS) has reported robust financial results for the second quarter of the financial year 2026-27 (Q2 FY27), showcasing significant growth in both profit and revenue. The IT services giant's consolidated net profit saw a substantial 14.86% year-on-year (YoY) increase, reaching Rs 13,934 crore, up from Rs 12,131 crore in the same period last year.
Strong Revenue Growth and Operational Performance
The company's revenue from operations climbed 11.22% YoY, hitting Rs 73,188 crore in Q2 FY27, compared to Rs 65,799 crore in the year-ago quarter. This performance underscores TCS's continued market leadership and operational efficiency.
Key operational highlights for the quarter include a total contract value (TCV) of $9.6 billion, demonstrating strong deal wins. The operating margin stood at a healthy 24%, while net cash from operations was reported at Rs 14,190 crore, equivalent to 102.2% of its net income.
Dividend Declaration and Workforce Details
In a move to reward shareholders, the TCS board declared a second interim dividend of Rs 12 per equity share, with a face value of Re 1 each, for FY27. The record date for determining eligible shareholders for this dividend is October 14, 2026, and the payment is scheduled for October 30, 2026.
As of the end of Q2 FY27, TCS's global workforce comprised 5,98,056 employees. The trailing 12-month (LTM) attrition rate in IT Services was 13.3%, indicating stable employee retention within the industry.
CEO's Outlook on Growth and Innovation
K Krithivasan, Chief Executive Officer and Managing Director of TCS, expressed satisfaction with the company's performance. "We are pleased with the broad-based growth in all our international markets and most industry segments," Krithivasan stated. He highlighted two significant deals with Porsche and Best Buy, describing them as "a new category of transformation partnerships."
Krithivasan also emphasized TCS's commitment to innovation, adding, "Together with our clients, we are building repeatable value platforms that will industrialize AI at scale." This statement points towards the company's strategic focus on leveraging artificial intelligence for future growth.
Following the announcement, TCS shares closed 0.42% lower at Rs 2,075.25 on Thursday.