2 hrs ago
TCS Q2 Profit Rises 15% as Annualized AI Revenue Tops $3 Billion
Tata Consultancy Services, or TCS, shared how its business performed in the second quarter of FY27.
It earned ₹73,188 crore in revenue, which was more than a year earlier.
Its net profit rose 15% to ₹13,884 crore.
TCS said its annualized revenue from AI work reached $3.1 billion.
The company also signed deals with Porsche and Best Buy.
It added 4,258 workers, bringing its workforce to 598,056.
TCS said its operating margin was 24% and attrition was 13.3%.
Its board announced a ₹12 dividend for each share, to be paid on October 30, 2026.
TCS reported Q2FY27 revenue of ₹73,188 crore, up 11.22% year over year, and net profit of ₹13,884 crore, up 15%.
The company reported operating and net margins of 24% and 19%, respectively, and quarterly total contract value of $9.6 billion.
Annualized AI revenue reached $3.1 billion, exceeding 10% of revenue, according to TCS.
TCS added 4,258 employees on a net basis, bringing its workforce to 598,056; attrition was 13.3%.
The board declared a second interim dividend of ₹12 per share, payable October 30, 2026, with October 14 set as the record date.
- Who
- Tata Consultancy Services (TCS), an IT company.
- What
- Reported Q2FY27 financial results, including higher revenue and profit, $3.1 billion in annualized AI revenue, and a ₹12 interim dividend.
- Where
- India; the article also mentions a Best Buy Global Capability Center in India.
- When
- Q2FY27, the quarter ending September 30; the dividend is scheduled for October 30, 2026.
- Why
- The article reports TCS's quarterly performance and business developments; it does not state a specific reason for the results.
Key facts
- Q2FY27 revenue
- ₹73,188 crore, up 11.22% year over year
- Q2FY27 net profit
- ₹13,884 crore, up 15% year over year
- Operating margin
- 24%
- Net margin
- 19%
- Total contract value
- $9.6 billion
- Annualized AI revenue
- $3.1 billion, exceeding 10% of revenue
- Workforce and attrition
- 598,056 employees; attrition of 13.3%
- Interim dividend
- ₹12 per share; record date October 14, 2026; payment date October 30, 2026
Quotes
Aarthi Subramanian
TCS Executive Director, President and Chief Operating Officer
“AI momentum remained strong, with annualized AI revenues now exceeding $3 billion. Demand for delivering business outcomes with AI-native solutions, AI-led transformation of enterprise systems and autonomous GBS, continues to accelerate. Cybersecurity remains a top priority as customers sharpen their focus on resilience and recovery. TCS’ Human+AI Services Autonomy model for AMS earned top rankings from customers, underscoring the strength of our differentiated capabilities.”
financialexpress.com
“We continue to build a future-ready workforce through upskilling our employees and hiring top talent. Investments in learning and critical skills drove a 17% sequential increase in learning hours to 17.1 million. This quarter our employee base reached over 598,000, while attrition remained stable at 13.3%.”
financialexpress.com
Sources
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