Tata Consultancy Services settles 2 pc lower

New Delhi: Shares of Tata Consultancy Services (TCS) on Thursday settled 2 per cent lower, a day after the company announced its September quarter earnings. In late morning trade on BSE, TCS shares dived by 1.6 per cent to Rs 3,552.60 apiece and further slipped to close at Rs 3,542.25, a fall of 1.88 per cent. On NSE, the stock declined 1.85 per cent to close at Rs 3,543 per piece.

In volume terms, 2.06 lakh equity shares were traded on BSE, while 42.41 lakh shares changed hands on NSE. The 30-share BSE Sensex declined 64.66 points to close at 66,408.39, while Nifty edges lower by 17.35 points to 19,794. On Wednesday, TCS reported an 8.7 per cent year-on-year rise in net profit to Rs 11,342 crore in the September 2023 quarter and stated that the headwinds for the IT sector continue amid a sluggish economic climate.

"Yes, there is uncertainty because of which clients are focused more on optimisation, which results in the older projects getting optimised or some of them getting passed or reprioritised, resulting in muted or moderated revenue growth," its chief executive and managing director K Krithivasan said. TCS's revenue from operations rose 7.9 per cent year-on-year to Rs 59,692 crore in the reporting quarter from Rs 55,309 crore a year ago, the company said.