Newsletter
Tata Consultancy Services (TCS) kicked off the Q2 FY26 earnings season with numbers that beat street expectations.
By the numbers:
Net profit: Down 3.8% QoQ at ₹12,075 cr vs ₹12,760 cr
Revenue: Up 3.7% QoQ at ₹65,799 cr vs ₹63,437 cr
Margin: at 25.2% vs 24.5%
$ revenue: up 0.6% QoQ at $7,466 million vs $7,421 million
Most Indian IT firms earn largely from the US and Europe, making dollar revenue a key indicator of global growth, demand, and performance.
Headcount update: the company reduced its workforce by 19,755 in Q2 FY26 after announcing a 2% trim. TCS now employs 6,13,069 people, according to its earnings report.
Deal wins: the total contract value (TCV) of deals in Q2 stood at $10 billion.
A top global healthcare company has expanded its partnership with TCS. The company also deepened its ties with Tryg, a leading Scandinavian insurance firm, and Weatherford International, a major North American oilfield services provider.
What’s next: TCS is making strategic moves to strengthen its AI and cloud capabilities. The company announced plans to set up a new business entity focused on building AI infrastructure and develop a 1 GW capacity AI data center in India.
Additionally, it will acquire ListEngage, a firm with deep expertise in Salesforce solutions, further enhancing TCS’s digital and customer engagement offerings.
