TCS Q1 Results FY26: Friends let us tell you that the country’s largest IT company Tata Consultancy Services (TCS) has released its Q1 FY26 results, and this news is no less than a good news for investors! TCS has earned a net profit of Rs 12,760 crore with a spectacular increase of 6% in the April-June 2025 quarter. Along with this, the company has also announced an interim dividend of Rs 11 per share for its shareholders.
TCS showed strength, profit increased by 6%
According to sources, TCS achieved a consolidated net profit of Rs 12,760 crore in this quarter, which was Rs 12,040 crore in the same quarter last year. That is, the company registered an annual growth of 6%. It is worth noting that this figure was also better than the market estimates, where analysts had estimated a profit of Rs 12,263 crore.
However, talking about revenue, it increased marginally by 1.3% and stood at Rs 63,437 crore. But in terms of constant currency, revenue saw a decline of 3.1%. Still, the company’s operating margin stood at 24.5%, which is 30 basis points better than the previous quarter.
Gift of dividend, investors happy
Friends, you will not believe it, but TCS has declared an interim dividend of Rs 11 per share to please its investors. The record date of this dividend is July 16, 2025, and the payment will be made on August 4, 2025. The dividend yield of the company is 3.73% as per the current share price, which is attractive for investors.
AI and cyber security boosted enthusiasm
TCS CEO K Krithivasan said that this quarter saw great growth in new areas like AI & Data, TCS Interactive, and Cyber Security. The company also achieved an order book of $9.4 billion, which reflects its strong future.
What are the challenges?
According to media reports, there has been some reduction in demand due to global economic uncertainties and geopolitical issues. Especially sectors like consumer business and life sciences saw a decline of 3.1% and 9.6%. But TCS’ focus on AI-led transformation and cost optimization is helping it deal with the challenges.
Conclusion
As you know, TCS has always been a trusted name for investors and the market. This quarter’s results once again proved that the company can perform well even in difficult situations. With a dividend of Rs 11 and 6% profit growth, TCS remains an attractive option for investors.
Disclaimer: The information given in this article is based on online sources. Please consult the official website or experts before investing.
