India’s tech giant Tata Consultancy Services (TCS) announced its Q4 results for FY25 on April 10, and the numbers were slightly underwhelming.
TCS reported a net profit of Rs 12,224 crore in the March quarter, showing a 2% drop compared to the same quarter last year (Rs 12,434 crore). The decline comes amid ongoing global uncertainty and slowdown in tech spending.
While the bottom line took a hit, revenue told a different story. TCS’ revenue for Q4 stood at Rs 64,479 crore, up 5.3% year-on-year. In Q4 FY24, the company had clocked in Rs 61,237 crore in revenue.
Despite the growth in revenue, the results fell short of analyst expectations. According to a Moneycontrol survey of brokerages, the Street had estimated Q4 net profit at Rs 12,554 crore and revenue at around Rs 64,840 crore.
So yes, TCS missed the mark on both earnings and top-line figures.
Zooming out, the full-year performance gives a broader perspective:
- Annual revenue: Rs 2,55,324 crore, up 6% YoY
- Full-year net profit: Rs 48,553 crore
That’s steady growth, though clearly affected by global macro challenges and cautious client spending.
Along with the Q4 results, TCS declared a final dividend of Rs 30 per share. This is in addition to the Rs 96 already paid out this fiscal — which includes three interim dividends and one special dividend. That brings the total payout to Rs 126 per share for FY25. Quite a reward for shareholders!
Despite the Q4 miss, TCS remains a strong player in the IT space. The company is adapting to slower deal cycles, and analysts still see long-term stability in its fundamentals.
As investors look ahead to FY26, all eyes will be on how TCS navigates global headwinds and client budget tightening. The stock’s next moves may depend more on future deal wins than short-term numbers.