Tata Consultancy Services Limited · NSE:TCS
Tata Consultancy Services — Q1 FY2022 Earnings Presentation
27 slides from Tata Consultancy Services's earnings presentation, Jul 8, 2021
Slide 1: TCS Financial Results Quarter I FY 2021-22
TCS Financial Results Quarter I FY 2021-22 Jul 08, 2021
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
Slide 3: Q1 FY22 Performance Highlights
Q1 FY22 Performance Highlights ➢ Revenue: - INR Revenue of ` 454,110 Mn, up 3.9% QoQ, up 18.5% YoY - USD Revenue of $ 6,154 Mn, up 2.7% QoQ, up 21.6% YoY - Constant currency revenue up 2.4% QoQ , up 16.4% YoY - Industry Verticals (ex Regional Markets & Others) up 4.1% QoQ CC, up 18.5% YoY CC ➢ Profi
Slide 4: Growth Summary (INR)
Growth Summary (INR) Revenue Y-o-Y Growth Y-o-Y Growth CC 18.5% 437,050 454,110 9.4% 420,150 ` Million 401,350 5.4% 16.4% 383,220 3.0% 0.4% 5.9% 0.4% -6.3% -3.2% Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Operating Income Operating margin (%) 111,840 117,340 115,
Slide 5: Growth Summary (USD)
Growth Summary (USD) Revenue Y-o-Y Growth Y-o-Y Growth CC 6,154 21.6% 5,989 5,702 5,424 10.0% $ Million 5,059 16.4% 2.1% -1.7% 5.9% -6.3% 0.4% -3.2% -7.8% Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Operating Income Operating margin (%) 1,517 1,608 1,570 1,422 1,1
Slide 6: Operational Parameters
TATA CONSULTANCY SERVICES Building on belief Operational Parameters
Slide 7: Growth by Market
Growth by Market Q-o-Q Y-o-Y Geography (%) Q1 FY21 Q4 FY21 Q1 FY22 CC Growth CC Growth Americas North America 51.4 48.6 49.4 4.1 15.8 Latin America 1.7 1.6 1.6 4.0 16.1 Europe UK 15.3 16.0 16.3 3.6 16.3 Continental Europe 15.6 16.8 16.7 1.5 19.7 Asia Pacific 9.8 9.4 9.3 2.4 9.3 India 4.3 5.6 4.6 -14
Slide 8: Growth by Domain
Growth by Domain Q-o-Q Y-o-Y Vertical (%) Q1 FY21 Q4 FY21 Q1 FY22 CC Growth CC Growth BFSI 31.6 32.2 32.5 3.1 19.3 Retail & CPG 14.0 14.5 14.8 4.4 21.7 Life Sciences & Healthcare 9.6 9.7 10.2 7.3 25.4 Manufacturing 9.7 9.6 9.8 4.8 18.3 Technology & Services 9.1 8.4 8.6 5.0 12.3 Communication & Media
Slide 9: Service Lines Commentary
Service Lines Commentary • Our focus on Growth and Transformation services is yielding results and we are Cloud Platform Services Enterprise Application Services partnering with our customers in their Very strong growth in public hyperscaler cloud services as Accelerating adoption of SaaS/Cloud, esp
Slide 10: Client Parameters
Client Parameters Clients Contribution Q1 FY21 Q4 FY21 Q1 FY22 US$ 1m+ Clients 1066 1096 1118 US$ 5m+ Clients 564 569 586 US$ 10m+ Clients 382 387 405 US$ 20m+ Clients 230 228 241 US$ 50m+ Clients 100 101 105 US$ 100m+ Clients 48 48 50 *Last Twelve Months' services revenues 10
Slide 11: Key Highlights (1/3)
Key Highlights (1/3) Cloud Services Cyber Security ▪ Selected by an EMEA-based global brand & leader in car & truck rental, to empower their Hybrid Cloud strategy ▪ Engaged by a global leader in the HR services industry, as leveraging TCS Enterprise Cloud with dual availability zones. This hybrid en
Slide 12: Key Highlights (2/3)
Key Highlights (2/3) Cognitive Business Operations, Quality Engineering Consulting & Services Integration, Enterprise Application Services ▪ Chosen by a Canadian multinational insurance and financial services ▪ Selected by a US-based biopharmaceutical company, as its design and implementation partne
Slide 13: Key Highlights (3/3)
Key Highlights (3/3) Analytics & Insights, IoT & Engineering Services Interactive ▪ Chosen by a multinational consumer credit reporting company, to accelerate its go-to-market initiatives including rolling out of • SonyLIV has entrusted TCS with a multi-year, commercial models across its business un
Slide 14: Human Resources
TATA CONSULTANCY a . SERVICES Building on belief Human Resources
Slide 15: Total Employee Base
Total Employee Base Total Employees : 5,09,058 Attrition*: • 8.6% (LTM), IT Services 509,058 488,649 Diversity: 469,261 • Women employees: 36.2% • Nationalities: 155 453,540 448,464 443,676 * Excluding Subsidiaries Talent Development: • ~10Mn Learning Hrs in Q1’22 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22
Slide 16: Annexure
TATA CONSULTANCY a . SERVICES Building on belief Annexure
Slide 17: IFRS Income Statement
IFRS Income Statement ` M illion % of Revenue Consolidated IFRS Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Revenue 383,220 454,110 100.00 100.00 Cost of revenue 232,140 270,800 60.58 59.63 Gross margin 151,080 183,310 39.42 40.37 SG & A expenses 60,600 67,430 15.81 14.85 Operating income 90,480 115,880 23.61 2
Slide 18: COR – SG&A Details
COR – SG&A Details ` Million % of Revenue COR Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Employee cost 173,680 201,570 45.32 44.39 Fees to external consultants 29,550 37,470 7.71 8.25 Equipment and software 3,460 2,580 0.90 0.57 Facility expenses 3,320 3,340 0.87 0.73 Depreciation 7,280 8,400 1.90 1.85 Travel
Slide 19: Cash Flow Summary
Cash Flow Summary IFRS in ` Mn Q1 FY21 Q1 FY22 Net Cash from Operations 92,900 102,960 Capital Expenditure 6,220 5,460 Free Cash Flow 86,680 97,500 Dividends Paid 22,850 55,870 Operating Cash Flow to Sales (%) 24.2 22.7 Operating Cash Flow to Net Profit (%) 132.6 114.3 Total Cash and Investments 511
Slide 20: IFRS Statement of Financial Position
IFRS Statement of Financial Position 31-Mar-21 30-Jun-21 Consolidated IFRS ` Million % ` Million % Assets Property and equipment 121,350 9.13 120,410 8.71 Right-of-use Assets 76,330 5.74 79,400 5.75 Intangible assets and Goodwill 44,280 3.33 44,530 3.23 Accounts Receivable 301,340 22.68 307,070 22.2
Slide 21: IFRS Income Statement – In USD
IFRS Income Statement – In USD $ Million % of Revenue Consolidated IFRS Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Revenue 5,059 6,154 100.00 100.00 Cost of revenue 3,065 3,670 60.58 59.63 Gross margin 1,994 2,484 39.42 40.37 SG & A expenses 800 914 15.81 14.85 Operating income 1,194 1,570 23.61 25.52 Other in
Slide 22: COR – SG&A Details – In USD
COR – SG&A Details – In USD $ Million % of Revenue COR Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Employee cost 2,293 2,732 45.32 44.39 Fees to external consultants 390 508 7.71 8.25 Equipment and software 46 35 0.90 0.57 Facility expenses 44 45 0.87 0.73 Depreciation 96 114 1.90 1.85 Travel 31 37 0.61 0.61 Co
Slide 23: IFRS Statement of Financial Position in USD
IFRS Statement of Financial Position in USD 31-Mar-21 30-Jun-21 Consolidated IFRS $ Million % $ Million % Assets Property and equipment 1,653 9.13 1,618 8.71 Right-of-use Assets 1,040 5.74 1,067 5.75 Intangible assets and Goodwill 603 3.33 599 3.23 Accounts Receivable 4,106 22.68 4,126 22.22 Unbille
Slide 24: Ind AS Income Statement - Consolidated
Ind AS Income Statement - Consolidated ` Crore % of Revenue Consolidated Ind AS Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Revenue 38,322 45,411 100.00 100.00 Expenditure a) Employee Costs 22,093 25,649 57.65 56.48 b) Cost of equipment and software licences 346 258 0.90 0.57 c) Other Operating expenses 5,859 6
Slide 25: Ind AS Balance Sheet - Consolidated
Ind AS Balance Sheet - Consolidated ` Crore % Consolidated Ind AS 31-Mar-21 30-Jun-21 31-Mar-21 30-Jun-21 ASSETS Property, plant and equipment 12,516 12,418 9.57 9.13 Right-of-use assets 7,633 7,940 5.84 5.84 Investments 29,373 30,123 22.46 22.14 Deferred tax assets (net) 3,931 3,505 3.01 2.58 Goodw
Slide 26: Currency mix and average realized rates in INR
Currency mix and average realized rates in INR Average rates % of Revenue Currency Q1 FY21 Q4 FY21 Q1 FY22 Q1 FY21 Q4 FY21 Q1 FY22 USD 75.75 72.97 73.79 54.04% 50.93% 51.69% GBP 93.96 100.69 103.13 13.30% 13.80% 14.02% EUR 83.67 87.38 89.10 11.11% 12.62% 12.52% Others 21.55% 22.65% 21.76% Total 100.
Slide 27: Thank You
Thank You Copyright © 2021 Tata Consultancy Services Limited
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