TCS Q2 Results: Tata Consultancy Services (TCS), India’s largest IT services company, reported a consolidated net profit of Rs 12,075 crore for the July–September quarter (Q2 FY26), marking a 5.4% decline from Rs 12,760 crore in the previous quarter. The profit came below Street estimates of around Rs 12,744 crore.
On a year-on-year basis, the company’s net profit rose 1.4% from Rs 11,909 crore in the same period last year. Revenue from operations came in at Rs 65,799 crore, up 2.4% from Rs 64,259 crore a year ago, and 3.7% higher sequentially compared to Rs 63,437 crore in Q1 FY26.
Deal wins and business highlights
TCS reported total contract value (TCV) of $10 billion in Q2, up from $9.4 billion in the previous quarter. In constant currency terms, revenue grew 0.8% sequentially after two quarters of decline. The company had posted a 3.3% drop in constant currency revenue in the June quarter.
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Among business segments, Life Sciences and Healthcare grew 3.4% quarter-on-quarter in constant currency, followed by Manufacturing (up 1.6%) and Communication, Media & Information Services (up 0.8%).
Operating margin for the quarter expanded by 70 basis points to 25.2%, while net margin stood at 19.6%. The company reported cash flow from operations at 110.1% of net income.
TCS Dividend 2025 record date and payment date
The board of TCS declared a second interim dividend of Rs 11 per equity share. The record date has been fixed as October 15, 2025, and the payment will be made on November 4, 2025.
CEO commentary
K Krithivasan, Chief Executive Officer and Managing Director of TCS, said, “I am pleased with our strong Q2 performance. We are on a journey to become the world’s largest AI-led technology services company. Our transformation across talent, infrastructure, ecosystem partnerships, and customer value reflects our commitment to this vision.”
He added that the company’s investments, including in AI infrastructure, underline its focus on building a world-class, future-ready technology platform.
