Tata Group’s IT giant, Tata Consultancy Services, reported a strong set of numbers for Q4. The IT bellwether posted a strong 12.2% YoY jump in Q4FY26 net profit at Rs 13,718 crore, vs net profit growth of Rs 12,224 crore in Q4 FY25.
Furthermore, TCS reported 9.6% YoY revenue growth in Q4. The company reported consolidated revenue of Rs 70,698 crore in Q4 FY26, compared to Rs 64,479 crore in Q4 FY25.
“We are pleased to report the third consecutive quarter of sequential growth, supported by three mega deals and a $12 billion TCV, underscoring the strength of our five-pillar strategy and our AI-led positioning across services,” K Krithivasan, Chief Executive Officer and Managing Director of TCS, said in a statement.
Furthermore, here are five key highlights from TCS’s Q4 report card-
Salary growth across grade
One of the most talked-about aspects in the tech sector has been hiring and salary hikes. The company clocked a net headcount addition of 2,356 in Q4. The company also announced salary hikes across grades.
Sudeep Kunnumal, Chief HR Officer at TCS, said that the company has increased employees’ salaries across all grades. The salary increment is effective from April 1, 2026.
“We are pleased to implement annual salary increases across all grades effective 1st April. In Q4, we continued to invest in a future‑ready workforce with strong additions across experienced talent and campus hires. Building an AI‑first culture and equipping our people with AI‑ready skills remained a key priority in FY26 and will continue into FY27”, Kunnumal said.
The company reported an attrition rate of 13.7% in Q4 FY26, up from 13.5% in Q3 FY26. Its employee headcount grew by 2,000 QoQ in the March quarter.
Dividend announced
TCS announced a final dividend of Rs 31 per share for Q4FY26. The dividend is on equity shares with a face value of Re 1. The company said the dividend will be paid on the third day after the conclusion of the AGM.
With this, the total dividend payout for the financial year stands at Rs 110 per share, including interim dividends declared earlier.
This takes the company’s total shareholder payout for FY26 to a substantial Rs 39,571 crore.
AI revenue growth
Tata Consultancy Services said that its annualized AI Revenue crossed $2.3 billion in Q4 FY26. The company entered into a strategic partnership with leading players in the AI industry on both the software and hardware fronts.
TCS partnered with OpenAI, AMD, NVIDIA, Google Gemini, and other industry companies.
“FY26 marked a pivotal year for enterprise AI adoption. In Q4, our annualized AI revenues surpassed $2.3 billion, driven by the accelerated deployment of AI solutions. We experienced strong deal momentum across new services in Enterprise Transformation, Digital Engineering, and Cloud Modernization.” Aarthi Subramanian, Executive Director – President and Chief Operating Officer of TCS, said.
Deal Wins
TCS reported a strong TCV performance at $40.7 billion for FY26 and $12 billion for Q4. The company said this is among its highest TCV ever, with 3 mega deals in the quarter and 5 mega deals for the year.
The company’s client count valued at $100 million+ increased by 2 years over the year, bringing the total to 66. In the $50 million+ category, the company added 9 new clients in the quarter.
