Strong Order Book and Double Digit Growth Mark Stand-Out Year for TCS
- FY 19 US Dollar Revenue $20.9 Bn, +9.6% YoY (+11.4% in CC)
- Incremental revenue added: $2.2Bn in CC
- FY 19 Operating Margin: 25.6%, +79 bps YoY
- FY 19 Net Income: $4.5 Bn, up 12.2% YoY
MUMBAI, April 12, 2019: Tata Consultancy Services (BSE: 532540, NSE: TCS), the leading IT services, consulting and business solutions firm reported its consolidated financial results according to Ind AS and IFRS, for the quarter and the financial year ended as on March 31, 2019.
Annual Highlights for 2018-19 |
Q4 FY 2019 Highlights |
$100M+ band: 44 (+6 YoY)
|
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Commenting on the Q4 performance, Rajesh Gopinathan, Chief Executive Officer and Managing Director, said, “This is the strongest revenue growth that we have had in the last fifteen quarters. Our order book is bigger than in the prior three quarters, and the deal pipeline is also robust. Despite macro uncertainties ahead, our strong exit positions us very well for the new fiscal.”
He added, “Our full spectrum digital transformation capabilities and thought leadership is what is driving the strong demand for our services, and making us the preferred innovation and transformation partner to our customers. Our Business 4.0™ framework has now become the de facto model for enterprises looking to embrace new technology-enabled business models, pursue new revenue streams or deliver superior customer experiences.”
N Ganapathy Subramaniam, Chief Operating Officer & Executive Director, said,“It is a very satisfying finish to a year marked by steady growth acceleration and order book expansion every quarter. The expanding scale and scope of our cognitive business operations engagements have been central to our growth. Our Machine First™ approach and location-independent Agile methods are helping our customers reimagine their processes and underlying systems, participate in ecosystems and transform themselves into Business 4.0 organizations.”
V Ramakrishnan, Chief Financial Officer, said, “Double digit growth, higher quality of the incremental business, and best-in-class execution capabilities have helped us expand our operating margin year on year. Our foresight in investing very early on in building digital skills and transformational capabilities has not only gained us market share, but has also resulted in our very resilient, industry-leading margin today.”
IFRS Financial Statements
Consolidated Statements of Comprehensive Income
For the Year ended March 31, 2018, and March 31, 2019
(In millions of $, except per share data)
|
Year ended March 31, 2018 |
Year ended March 31, 2019 |
Revenue |
19,089 |
20,913 |
Cost of revenue |
11,054 |
12,160 |
Gross margin |
8,035 |
8,753 |
SG & A expenses |
3,305 |
3,406 |
Operating income |
4,730 |
5,347 |
Other income (expense), net |
557 |
589 |
Income before income taxes |
5,287 |
5,936 |
Income taxes |
1,273 |
1,428 |
Income after income taxes |
4,014 |
4,508 |
Minority interest |
9 |
14 |
Net income |
4,005 |
4,494 |
Earnings per share in $ |
1.04 |
1.19 |
Consolidated Statements of Comprehensive Income
For the three-month periods ended March 31, 2018, and March 31, 2019
(In millions of $, except per share data)
|
Three-month period ended March 31, 2018 |
Three-month period ended March 31, 2019 |
Revenue |
4,972 |
5,397 |
Cost of revenue |
2,871 |
3,144 |
Gross margin |
2,101 |
2,253 |
SG & A expenses |
838 |
899 |
Operating income |
1,263 |
1,354 |
Other income (expense), net |
152 |
165 |
Income before income taxes |
1,415 |
1,519 |
Income taxes |
342 |
362 |
Income after income taxes |
1,073 |
1,157 |
Minority interest |
3 |
3 |
Net income |
1,070 |
1,154 |
Earnings per share in $ |
0.28 |
0.31 |
Other Operating expenses for the period Q4 FY2019 includes a contribution of Rupees 220 Crore to an electoral trust
Consolidated Statements of Financial Position
As of March 31, 2018, and March 31, 2019
(In millions of $)
|
As of March 31, 2018 |
As of March 31, 2019 |
Assets |
||
Property and equipment |
1,784 |
1,685 |
Intangible assets and Goodwill |
599 |
581 |
Accounts Receivable |
3,849 |
3,969 |
Unbilled Revenues |
1,063 |
1,298 |
Investments |
5,536 |
4,243 |
Cash and Cash equivalents |
751 |
1,045 |
Other current assets |
1,385 |
2,908 |
Other non-current assets |
1,702 |
1,207 |
Total Assets |
16,669 |
16,936 |
|
||
Shareholders' Funds |
13,413 |
13,243 |
Long term borrowings |
8 |
6 |
Short term borrowings |
30 |
3 |
Other current liabilities |
2,712 |
3,192 |
Other non-current liabilities |
443 |
423 |
Minority Interest |
63 |
69 |
Total Liabilities |
16,669 |
16,936 |
About Tata Consultancy Services Ltd (TCS)
Tata Consultancy Services is an IT services, consulting and business solutions organization that has been partnering with many of the world’s largest businesses in their transformation journeys for the last fifty years. TCS offers a consulting-led, cognitive powered, integrated portfolio of business, technology and engineering services and solutions. This is delivered through its unique Location Independent Agile delivery model, recognized as a benchmark of excellence in software development.
A part of the Tata group, India's largest multinational business group, TCS has over 424,000 of the world’s best-trained consultants in 46 countries. The company generated consolidated revenues of US $20.9 billion in the fiscal year ended March 31, 2019, and is listed on the BSE (formerly Bombay Stock Exchange) and the NSE (National Stock Exchange) in India. TCS' proactive stance on climate change and award winning work with communities across the world have earned it a place in leading sustainability indices such as the Dow Jones Sustainability Index (DJSI), MSCI Global Sustainability Index and the FTSE4Good Emerging Index. For more information, visit us at www.tcs.com.
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