TCS Q4 Net profit down 2.1% QoQ, at Rs. 1333 cr.

April 20, 2009

Tata Consultancy Services (TCS) came out with its Fourth-quarter FY09 results which were at par with Market expectations; its consolidated net sales grew by 18.1% year on year to Rs. 7172 cr whereas its consolidated net profit grew by 7.1% year on year to Rs.1333cr. Muted growth was recorded by the company as 40-45 of top 100 customers of the company are seeing fall in their own revenues while 50% of them have registered a fall in their profits. TCS expects pricing pressure to continue in the future quarters with a lower singly digit pricing decline. Company reported a forex loss of Rs. 192 cr. which was largely due to older hedges made by the company.

Key Highlights

× Income was Rs. 7172cr. for the quarter ended March 31, 2009; YoY growth was 18.5%. Net Profit after tax Stock Statistics (as on 20 Apr 2009) was Rs. 1333cr. for the quarter ended March, 2009; YoY growth was 7.1%. CMP (Rs.) 560.4 × Strong off shore shift, cost controls improve operating Market Cap (cr.) 54840.7 margins by 102 basis points. Latest Dividend %(FY08) 140.0 × Earning per share for 2008-09 at Rs 53.63 from Rs EPS (TTM) 48.0 51.36 in 2007-08. Total Dividend for FY09 stands at Rs. 14 per share including Rs. 5 as final dividend. PE Ratio 11.7 Dividend payout ratio at 26%. Book Value per share 111.4 During the quarter 7 large deals were made and 36 × Face Value 1.0 new clients were added. For FY09, 28 large deals and 163 new customers were added. 24 deals were made in the $50 million+ band. × Gross addition of 48595 employees during the year, Total employee strength at 1,43,761 professional.

Consolidated Q4FY09 Q3FY09 Q4FY08 QoQ% YoY% FY09 FY08 YOY% (Rs.cr) (Rs.cr) (Rs.cr) % % (Rs.cr) (Rs.cr) % Total Income 7172.0 7277.0 6050.0 -1.4 18.5 27812.0 22617.5 23.0 PBIT 1847.0 1944.0 1521.0 -5.0 21.4 6178.7 5876.0 5.2 Net profit 1333.0 1362.0 1245.0 -2.1 7.1 5256.4 5026.0 4.6 Net Profit Margin 18.6 18.7 20.6 -0.1 -2.0 18.9 22.2 -3.3 Operating Margin 25.8 26.7 25.1 -1.0 0.6 22.2 26.0 -3.8

Geography Segment Revenue (%) Q4FY09 Q3FY09 FY09 FY08 % % % % Americas 57.2 57.3 56.2 54.8 Europe 28.7 29.2 29.5 29.2 India 8.2 6.8 7.8 9.1 Others 5.9 6.7 6.5 6.9 Total 100.0 100.0 100.0 100.0

Segment Revenue (%) Q4FY09 Q3FY09 FY09 FY08 % % % % BFSI 42.8 41.9 42.3 43.6 Telecom 13.1 13.8 14.4 16.2 Retail & Distribution 12.0 11.2 10.3 7.7

Manufacturing 9.8 10.6 10.5 9.6 Others 22.3 22.5 22.5 22.9

Abhishek Gupta, BCCIR Email: [email protected]

Net Net Results Sales APAT Sales APAT Net Sales APAT Company Name Date Q4FY09 Q4FY09 FY09 FY09 QoQ% YoY% QoQ% YoY% Rs.cr. Rs.cr. Rs.cr. Rs.cr. % % % % ABB Ltd. 30-Apr ACC Ltd. 22-Apr Ambuja Cements Ltd. 22-Apr Ltd. 20-Apr Bharat Heavy Electricals Ltd. Corporation Ltd. Ltd. Cairn India Ltd. Ltd. DLF Ltd. GAIL (India) Ltd. Ltd. HCL Technologies Ltd. 22-Apr HDFC Bank Ltd. 23-Apr Hero Honda Motors Ltd. 21-Apr Ltd. Ltd. HDFC Ltd. I T C Ltd. ICICI Bank Ltd. 25-Apr Idea Cellular Ltd. 23-Apr Technologies Ltd. 15-Apr 5635 1613 21693 5988 -2.6 24.06 -1.7 29.1 Larsen & Toubro Ltd. Mahindra & Mahindra Ltd. India Ltd. 24-Apr NTPC Ltd. National Aluminium Co. Ltd. Oil & Natural Gas Corporation Ltd. Power Grid Corporation of India Ltd. Ranbaxy Laboratories Ltd. Reliance Capital Ltd. Reliance Communications Ltd. Ltd. Reliance Infrastructure Ltd. Reliance Petroleum Ltd. Reliance Power Ltd. Ltd. State Ltd. Sterlite Industries (India) Ltd. Sun Pharmaceutical Industries Ltd. Suzlon Energy Ltd. Tata Communications Ltd.

Tata Consultancy Services Ltd. 20-Apr 7172 1333 27812 5256.4 -1.4 18.55 -2.1 7.1 Ltd. Co. Ltd. Ltd. Unitech Ltd. Ltd. 22-Apr

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