Overview
- TCS, which reported results Thursday, posted net profit of Rs 13,718 crore and revenue of Rs 70,698 crore, with operating margin at 25.3% and a slight beat versus some estimates.
- The board recommended a final dividend of Rs 31 per share for FY26, lifting total dividends for the year to Rs 110 per share.
- Deal bookings stayed robust with Q4 total contract value at $12 billion, including three mega deals, and FY26 TCV at $40.7 billion; TCV is the value of signed contracts that feeds future revenue.
- Annualised AI revenue surpassed $2.3 billion in Q4 as TCS expanded deployments and deepened partnerships with vendors such as OpenAI, NVIDIA and AMD.
- Following Thursday’s release, the stock fell more than 3% on Friday as several brokerages lauded bookings yet flagged slow deal-to-revenue conversion and margins that may not widen quickly.