TCS India revenue dips 7.6% due to tough market conditions

TCS office
TCS said its revenue rose 7.8 percent to Rs 29,284 crore, while profit grew 8.8 percent to Rs 6,586 crore in the second quarter of fiscal 2017.

The Indian technology outsourcing company added 22,665 employees in the September quarter to reach a total employee base of 371,519.

Tata Consultancy Services CEO N Chandrasekaran said: “Growing uncertainties in the environment is creating caution among customers and resulted in holdbacks in discretionary spending this quarter. Volatility in markets like India and Latin America muted revenue growth.”

TCS has already trained over 180,000 employees for significant expertise in new digital technologies.

The revenue growth of TCS was led by Life Sciences and Healthcare which grew at 4.7 percent sequentially followed by Energy & Utilities (up 3.6 percent), Manufacturing (up 3.1 percent), Travel & Hospitality (up 2.3 percent) and Communication and Media which grew 2 percent.

TCS revenue from Europe grew at 3.7 percent and Asia Pacific at 3.5 percent sequentially, while North America grew 1.4 percent sequentially and UK was flat. India declined by 7.6 percent sequentially and Latin America also continued to show volatility.

TCS investment in digital business

A Blockchain Centre of Excellence is building solutions for remittances, cross-border payments, trade finance, KYC as well its use in Securities issuance, trading and processing.

TCS launched a new Mobile-only banking solution combined with Robo-advisory and Digital Wealth Management capabilities.

TCS launched OmniStock, a new solution to deliver a holistic approach to inventory management addressing omni-channel needs.

TCS launched new AI-driven engine for Assurance Analytics, Smart Meter Testing at the TCS Assurance Innovation Lab.

TC has set up a new Video Assurance Lab to execute automated test cases for video signals across multiple networks and multiple devices.

Key Digital wins in Q2:

TCS was selected by an European pharmaceutical company to create a Health Patch integration app linked to the cloud for instant analysis of a patients vital signs.

TCS was engaged by a global financial services firm to implement an enterprise data lake using Big Data technologies.

TCS was engaged by an APAC bank as a design consultant for providing its customers with a rich, unified experience across multiple channels.

TCS was selected by a North American pharmaceutical company to analyze the performance of their supplier distribution process using Big Data technologies.

TCS was selected by a European pharmaceutical company for a consulting engagement to revamp user experience and design of its unified portal.

TCS was chosen by a European bank for a consulting engagement to create the roadmap, operating model and architecture of their API platform using TCS proprietary methodology.

TCS will assist a North American manufacturer to revamp user experience and design of their brand sites.

TCS will assist a North American financial firm for a consulting engagement to create the roadmap, operating model and architecture for their Big Data platform.

UK based pharmaceutical company selected TCS as a consultant to create roadmap and architecture for its R&D unit using Master Data Management and Big Data technologies.

TCS said the employee strength at the end of Q2 was 371,519 with gross addition of 22,665, while net addition was 9,440 employees. The total attrition rate (LTM) fell to 11.9 percent in IT services and was at 12.9 percent including BPS. The percentage of women in TCS rose to 34.3 percent while the number of nationalities was at 129.