Indian software giant Tata Consultancy Services Ltd reported a 7.4% rise in March-quarter profit on Monday, as more businesses across the world leaned on technology and related services to drive their operations.
The company, India’s top IT exporter, typically kicks off the earnings season for the country’s thriving IT sector and is often seen as its bellwether, given the company’s rich roster of clients including Apple Inc.
Mumbai-based TCS reported a net profit of 99.26 billion rupees ($1.31 billion) for the three months to March 31, up from 92.46 billion rupees a year earlier.
Analysts on average had expected a profit of 100.01 billion rupees, according to Refinitiv data.
TCS posted its highest-ever order book total contract value of $11.3 billion in the quarter, the company said.
TCS and rivals Infosys, Wipro and HCL Technologies have been winning more large contracts from businesses that are investing in services ranging from cloud computing, digital payment infrastructure, crypto platforms to cyber-security.
“Increasing participation in our customers’ growth and transformation journeys, and an all-time high order book provide a strong and sustainable foundation for continued growth ahead,” TCS’ Chief Executive Officer Rajesh Gopinathan said in a statement.
Revenue from operations jumped 15.8% to 505.91 billion rupees, while banking and finance segment revenue rose 11.2% to 195.32 billion rupees. The unit is the company’s top revenue contributor.
TCS also recommended a final dividend of 22 rupees per share.