Tata Consultancy Services Limited · NSE:TCS

Tata Consultancy Services — Q2 FY2025 Earnings Presentation

23 slides from Tata Consultancy Services's earnings presentation, Oct 10, 2024

  1. Slide 1: TCS Financial Results

    TCS Financial Results Quarter II Ended FY 2024-25 Oct 10, 2024

  2. Slide 2: Disclaimer

    Disclaimer Certain statements in this release concerning our future prospects are forward-looking statements. Forward-looking statements by their nature involve a number of risks and uncertainties that could cause actual results to differ materially from market expectations. These risks and uncertai

  3. Slide 3: Q2 FY25 Performance Highlights

    Q2 FY25 Performance Highlights ➢ Revenue: - INR Revenue of ₹ 642,590 Mn, up 7.6% YoY - USD Revenue of $ 7,670 Mn, up 6.4% YoY - Constant currency revenue up 5.5% YoY ➢ Profit: - Operating Margin at 24.1% - Net Margin at 18.5% - Cash flow from operations at 100.2% of net profit ➢ Demand: - Clients $1

  4. Slide 4: Growth Summary (INR)

    Growth Summary (INR) Revenue Y-o-Y Growth Y-o-Y Growth CC 605,830 612,370 626,130 642,590 7.9% 7.6% 596,920 5.4% ` Million 4.0% 3.5% 5.5% 4.4% 2.8% 1.7% 2.2% Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Operating Income Operating margin (%) 151,550 159,180 154,420

  5. Slide 5: Growth Summary (USD)

    Growth Summary (USD) Revenue Y-o-Y Growth Y-o-Y Growth CC 7,670 6.4% 7,210 7,281 7,363 7,505 4.8% 4.4% $ Million 2.9% 5.5% 2.3% 3.9% 2.8% 2.2% 1.7% Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Q2 FY25 Operating Income Operating margin (%) 1,821 1,914 1,851 1,846 1,749 26.0

  6. Slide 6: Operational Parameters

    TATA ! { ( KS CONSULTANCY q@ id SERVICES TATA Operational Parameters

  7. Slide 7: Growth by Market

    Growth by Market Y-o-Y Geography (%) Q2 FY24 Q2 FY25 CC Growth Americas North America 51.7 47.6 - 2.1 Latin America 2.0 1.8 6.8 Europe UK 16.5 17.0 4.6 Continental Europe 14.9 14.6 1.8 Asia Pacific 7.8 8.0 7.5 India 4.9 8.9 95.2 MEA 2.2 2.1 7.9 Total 100.0 100.0 5.5 7

  8. Slide 8: Growth by Domain

    Growth by Domain Y-o-Y Vertical (%) Q2 FY24 Q2 FY25 CC Growth BFSI 32.6 30.8 0.1 Consumer Business 15.9 15.1 0.1 Life Sciences & Healthcare 10.9 10.4 0.1 Manufacturing 8.6 8.6 5.3 Technology & Services 8.6 8.0 - 1.9 Communication & Media 6.9 5.9 - 10.3 Energy, Resources and Utilities 5.6 5.7 7.0 Reg

  9. Slide 9: Client Parameters

    Client Parameters Clients Contribution Q2 FY24 Q2 FY25 US$ 1m+ Clients 1272 1307 US$ 5m+ Clients 688 710 US$ 10m+ Clients 483 491 US$ 20m+ Clients 292 298 US$ 50m+ Clients 137 136 US$ 100m+ Clients 61 66 *Last Twelve Months' services revenues 9

  10. Slide 10: Human Resources

    TATA ! { ( KS CONSULTANCY q@ id SERVICES TATA Human Resources

  11. Slide 11: Total Employee Base, Attrition, Diversity

    Total Employee Base Attrition*: 612,724 • 12.3% (LTM), IT Services 608,985 Diversity: 606,998 • 35.5% Women employees • 150 Nationalities 603,305 *Excluding Subsidiaries 601,546 Talent Development: • 26.1Mn Learning Hrs YTD (FY25) • 2.6Mn competencies acquired YTD (FY25) Q2-24 Q3-24 Q4-24 Q1-25 Q2-2

  12. Slide 12: Annexure

    TATA ! { ( KS CONSULTANCY q@ id SERVICES TATA Annexure

  13. Slide 13: IFRS Income Statement

    IFRS Income Statement ₹ M illion % of Revenue Consolidated IFRS Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Revenue 596,920 642,590 100.00 100.00 Cost of revenue 357,620 397,200 59.91 61.81 Gross margin 239,300 245,390 40.09 38.19 SG & A expenses 94,470 90,740 15.83 14.12 Operating income 144,830 154,650 24.26

  14. Slide 14: COR – SG&A Details

    COR – SG&A Details ₹ Million % of Revenue COR Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Employee cost 273,670 292,670 45.85 45.54 Fees to external consultants 40,790 28,070 6.83 4.37 Equipment and software 4,620 32,300 0.77 5.03 Facility expenses 4,890 5,360 0.82 0.83 Depreciation 9,640 9,860 1.62 1.53 Travel

  15. Slide 15: Cash Flow Summary

    Cash Flow Summary IFRS in ₹ Mn Q2 FY24 Q2 FY25 Net Cash from Operations 118,230 119,320 Capital Expenditure 4,660 8,060 Free Cash Flow 113,570 111,260 Dividends Paid 121,010 36,470 Operating Cash Flow to Sales (%) 19.8 18.6 Operating Cash Flow to Net Profit (%) 104.2 100.2 Total Cash and Investments

  16. Slide 16: IFRS Statement of Financial Position

    IFRS Statement of Financial Position ₹ Million Consolidated IFRS 31-Mar-24 30-Sep-24 Assets Property and equipment 112,240 112,760 Right-of-use Assets 78,860 89,770 Intangible assets and Goodwill 44,990 44,810 Accounts Receivable 445,610 496,180 Unbilled Revenues 153,000 150,120 Invested Funds 469,6

  17. Slide 17: IFRS Income Statement – In USD

    IFRS Income Statement – In USD $ Million % of Revenue Consolidated IFRS Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Revenue 7,210 7,670 100.00 100.00 Cost of revenue 4,320 4,741 59.91 61.81 Gross margin 2,890 2,929 40.09 38.19 SG & A expenses 1,141 1,083 15.83 14.12 Operating income 1,749 1,846 24.26 24.07 Othe

  18. Slide 18: COR – SG&A Details – In USD

    COR – SG&A Details – In USD $ Million % of Revenue COR Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Employee cost 3,306 3,493 45.85 45.54 Fees to external consultants 493 335 6.83 4.37 Equipment and software 56 386 0.77 5.03 Facility expenses 59 64 0.82 0.83 Depreciation 116 118 1.62 1.53 Travel 61 73 0.85 0.95

  19. Slide 19: IFRS Statement of Financial Position in USD

    IFRS Statement of Financial Position in USD $ Million Consolidated IFRS 31-Mar-24 30-Sep-24 Assets Property and equipment 1,346 1,346 Right-of-use Assets 946 1,071 Intangible assets and Goodwill 539 534 Accounts Receivable 5,343 5,921 Unbilled Revenues 1,834 1,791 Invested Funds 5,633 6,439 Other cu

  20. Slide 20: Ind AS Income Statement - Consolidated

    Ind AS Income Statement - Consolidated ₹ Crore % of Revenue Consolidated Ind AS Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Revenue 59,692 64,259 100.00 100.00 Expenditure a) Employee Costs 35,123 36,654 58.84 57.04 b) Cost of equipment and software licences 462 3,230 0.77 5.03 c) Other Operating expenses 8,361

  21. Slide 21: Ind AS Balance Sheet - Consolidated

    Ind AS Balance Sheet - Consolidated ₹ Crore Consolidated Ind AS 31-Mar-24 30-Sep-24 Assets Property and equipment 10,940 10,938 Right-of-use Assets 7,886 8,977 Intangible assets and Goodwill 2,342 2,314 Accounts Receivable 44,561 49,618 Unbilled Revenues 15,300 15,012 Invested Funds 46,963 53,966 Ot

  22. Slide 22: Currency mix and average realized rates in INR

    Currency mix and average realized rates in INR Average rates % of Revenue Currency Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 USD 82.79 83.78 53.96% 49.32% GBP 103.81 110.23 14.34% 14.86% EUR 89.53 92.41 11.12% 11.15% Others 20.58% 24.67% Total 100.00% 100.00% 22

  23. Slide 23: Thank you

    Thank you Copyright © 2024 Tata Consultancy Services Limited

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