1 week Ago By Motilal Oswal Financial Services
TCS generated an free cash flow of Rs 464 billion in FY25 (up 4.2% YoY). In Q1 FY26, Motilal Oswal expects revenue/Ebit/PAT to grow 2.
2%/3.2%/2.8% YoY.
TCS reported a deal total contract value of $12.2 billion, up 20% QoQ but down 8% YoY, bringing the FY25 total contract value to $39.4 billion.
The book-to-bill ratio was 1.6 times.NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies.
These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.Motilal Oswal ReportTata Consultancy Services Ltd. reported revenue of $7.
5 billion in Q4 FY25, down 1.0% QoQ in USD terms versus our estimated decline of 0.8%.
FY25 revenue stood at $30.2 billion, up 4.2% YoY in constant currency.
Q4 growth was led by BFSI (up 1.3% QoQ). Regional markets declined 6% QoQ (BSNL), whereas all other verticals were down ~1.
0% QoQ. In terms of geographies, India was down 15% QoQ, the US was flat, while Europe was up 2% QoQ. Ebit margin was 24.
2% (down 30 basis point QoQ), below our estimate of 24.5%. PAT dipped 1.
3% QoQ/1.7% YoY to Rs 122 billion (below our estimate of Rs 126 billion).For the full year (FY25), revenue/Ebit/PAT increased 6.
0%/4.6%/5.4% YoY (in INR terms).
TCS generated an free cash flow of Rs 464 billion in FY25 (up 4.2% YoY). In Q1 FY26, we expect revenue/Ebit/PAT to grow 2.
2%/3.2%/2.8% YoY.
TCS reported a deal total contract value of $12.2 billion, up 20% QoQ but down 8% YoY, bringing the FY25 total contract value to $39.4 billion.
The book-to-bill ratio was 1.6 times. We reiterate our Buy rating on TCS with a target price of Rs 3,850, implying a 19% potential upside.
Click on the attachment to read the full report:TCS Q4 Results Review— Demand Environment Largely Status Quo, Says Dolat Capital, Revises Rating To AccumulateDISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice.
For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
. Read more on Research Reports by NDTV Profit..
