Tata Consultancy Services (TCS), India’s largest IT services provider, reported its financial results for the fourth quarter of FY25, showing resilience in a tough global environment marked by sluggish discretionary tech spending.
For the quarter ended March 31, 2025, TCS posted a net profit of ₹12,224 crore, down 1.26% from ₹12,380 crore reported in Q3 FY25. Revenue from operations came in at ₹64,479 crore, a marginal sequential rise from ₹63,973 crore, reflecting an uptick of 0.8% QoQ.
Total income stood at ₹65,507 crore, up from ₹65,216 crore in the previous quarter. Meanwhile, total expenses rose slightly to ₹49,105 crore compared to ₹48,550 crore in Q3, primarily due to higher employee benefit costs.
EBIT margin remained steady, with EBIT (calculated as profit before tax minus other income) around ₹15,374 crore, in line with the company’s recent trend of maintaining margins near the 24.5%–24.8% range.
In US Dollar terms, TCS reported revenue of $7,465 million for Q4FY25, slightly missing the CNBC-TV18 estimate of $7,481.5 million.
The company’s constant currency growth for FY25 stood at 4.2%, coming in marginally above the projected range of 3.8% to 4%.
For the full financial year, TCS clocked total revenue of ₹2,55,324 crore, compared to ₹2,40,893 crore in FY24, and a net profit of ₹48,797 crore, up from ₹46,099 crore last year.
Quarterly Highlights at a Glance:
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Revenue from operations: ₹64,479 crore vs ₹63,973 crore QoQ
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Net profit: ₹12,224 crore vs ₹12,380 crore QoQ (↓1.26%)
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Total income: ₹65,507 crore
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EBIT Margin (estimated): ~24.5–24.8%
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Total expenses: ₹49,105 crore vs ₹48,550 crore QoQ
What to watch ahead:
Investors will now focus on management’s commentary for FY26 guidance, especially regarding deal ramp-ups in the BFSI, US, and EU verticals — areas that had seen declines in Q3. Analysts will also seek clarity on the sustainability of margins and client discretionary spending, which remained weak in the last few quarters.
