In the latest sign that IT spending is back on the agenda, Tata Consultancy Services has announced strong growth in sales and recruitment.
Tata Consultancy Services (TCS), India's biggest IT services firm, followed up Infosys' strong results by reporting a 31% increase in revenue for its latest financial quarter, compared to the same period the year before.
By submitting your email address, you agree to receive emails regarding relevant topic offers from TechTarget and its partners. You can withdraw your consent at any time. Contact TechTarget at 275 Grove Street, Newton, MA.
Revenue for the third quarter was $2.14bn, which was a 7% increase on the previous quarter and 31% higher than the same period a year ago. Profit was $517m which was 14% and 35% higher than the previous quarter and the same quarter the year before respectively.
Like Infosys, TCS has added customers and employees.
TCS now has 12,497 more employees and 35 new clients since the previous quarter. TCS has over 180,000 employees in total.
Infosys, which increased third quarter revenue 6% compared to the previous quarter and nearly 29% year on year when it announced $1.6bn (£1.01bn) revenue last week, said last week that it had added 40 customers during the period and has 5,311 more employees.
AS Lakshmi, TCS head of Europe, said the economy is coming back to normal and TCS expects to grow in certain areas. "While our customers are cautious about the economic environment overall they are all looking to grow," said AS Lakshmi.
He said the financial services sector is spending money on separating business units, meeting legislative changes and improving customers' experiences. Meanwhile, retails are investing in technology to help them better understand customers and provide real-time promotions.