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Home / Results / TCS Q4 Net Profit Falls by 2% to Rs 12,224 Crore; Crossed $30 Billion Revenue in FY25, Declares Dividend of ₹30/Share

TCS Q4 Net Profit Falls by 2% to Rs 12,224 Crore; Crossed $30 Billion Revenue in FY25, Declares Dividend of ₹30/Share

2025-04-10  Ravi Mehta  
20250410_162155
TCS office Lucknow 

Tata Consultancy Services (TCS), India’s largest IT services company, has achieved a significant milestone in FY25 by surpassing $30 billion in annual revenues. Amid global economic uncertainty, TCS has demonstrated robust financial performance, technological innovation, and global partnerships that reinforce its position as a trusted digital transformation partner worldwide.

Quarterly Snapshot: Q4 FY25 vs Q4 FY24

In the fourth quarter of FY25, TCS reported a revenue of ₹64,479 crore, registering a 5.3% increase compared to ₹61,237 crore in Q4 FY24. Despite this strong revenue growth, the net profit for the quarter dipped slightly to ₹12,224 crore, down from ₹12,434 crore during the same quarter last year. This represents a modest 1.7% decline in profit year-on-year. Similarly, earnings per share (EPS) also came down marginally from ₹34.37 to ₹33.79.

As part of its commitment to shareholder returns, TCS has proposed a final dividend of ₹30 per share for FY25, subject to approval at the Annual General Meeting. This comes on top of earlier interim dividends declared during the year, bringing the total shareholder payout to ₹44,962 crore. The dividend reflects the company's strong cash flow generation and consistent financial discipline.

Financial Performance: FY25 vs FY24

Revenue: ₹255,324 crore in FY25, a 6.0% YoY growth (4.2% in constant currency).

Net Profit: ₹48,553 crore in FY25, up from ₹46,585 crore in FY24.

Operating Margin: 24.3%

Net Margin: 19.0%

Q4 FY25 Revenue: ₹64,479 crore, up 5.3% YoY.

Q4 Net Profit: ₹12,224 crore

Free Cash Flow: ₹46,449 crore

Dividend Payout: ₹44,962 crore, including a final proposed dividend of ₹30/share

EPS: ₹134.19 for FY25 (vs ₹127.74 in FY24)

Client Metrics & Workforce Insights

607,979 employees, spanning 152 nationalities; women make up 35.2%

42,000 trainees onboarded in FY25

13.3% attrition rate (LTM), among the industry’s lowest

56 million learning hours and 5.2 million new competencies acquired

64 clients contributing over $100 million annually (+2 YoY)

Segment Performance: Industry-Wise Growth (YoY)

Energy, Resources & Utilities (ERU): +5.1%

Manufacturing: +2.9%

BFSI (Banking, Financial Services & Insurance): +0.7%

Consumer Business: +0.3%

Life Sciences & Healthcare: -1.6%

Technology & Services: -1.3%

Communication & Media: -9.5%

Regional Markets & Others: +37.2% YoY – the fastest-growing segment

Geographic Highlights (YoY Constant Currency Growth)

India: +62.6%

Middle East & Africa (MEA): +11.2%

Asia Pacific: +6.8%

UK: +4.0%

Continental Europe: +0.7%

North America: -1.8%

Service Lines Driving Growth

AI.Cloud, IoT & Digital Engineering, and Enterprise Solutions led the charge.

TCS’s AI.Cloud services saw major wins, including building AI models for wildfire risk management and a GenAI-based movie script analyzer.

Over 33% of client engagements now leverage AI/GenAI for faster, high-quality outcomes.

Enhancements made to proprietary platforms like WisdomNext™ 2.0 and TCS Crystallus™.

Strategic Deals & Partnerships

TCS signed multiple transformational deals across industries and geographies:

Google Cloud partnership to scale GenAI adoption in telecom & media.

Air New Zealand: 5-year deal to modernize digital infrastructure with AI-first models.

Avianca Airlines: Continues long-term digital transformation with AI and cloud.

DNB Bank ASA, Norway: Multi-year extension for digital modernization and AI enablement.

The Cumberland UK: Modernizing core banking with TCS BaNCS™.

Muscat Clearing and Depository (Oman): Implementing TCS BaNCS™ and Quartz™.

Vantage Towers (Europe): Launching digital platform to improve site partnerships.

Global QSR Chain, Manufacturing Giants, and Financial Firms: End-to-end digital transformation using S/4 HANA, ignio™, Cognix™, and Clever Energy

Awards & Recognition

#2 Global IT Services Brand by Brand Finance 2025 ($21.3B brand value)

Listed in Fortune's Most Admired Companies 2025

Recognized by NVIDIA as Rising Star Partner of the Year for AI Innovation

Top Employer 2025 certifications across Europe, North America, APAC

IoT Breakthrough Award for Rental Telematics 4.0

Featured as Leader in 25 analyst assessments, including Gartner, Everest, IDC, and NelsonHall

Research, Innovation & Sustainability

8,816 patents filed, 4,820 granted (235 granted in Q4 FY25)

Continued investment in Agentic AI, AI for Cybersecurity, and Sustainable IT Services

Expanded AI-powered enterprise platforms like ignio™ and WisdomNext™

Disclaimer:

The data and insights in this article are derived from Tata Consultancy Services Limited’s press release dated April 10, 2025, and are for informational purposes only. This content does not constitute financial advice or investment recommendations. Readers are advised to perform their own due diligence and consult financial professionals before making investment decisions. The author and publisher assume no liability for any actions taken based on this article.

 

 


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