TCS Q3 FY25 Earnings: What to Expect
Revenue Growth:
Muted sequential growth in constant currency is expected due to furloughs and currency fluctuations.
Year-on-year growth is projected to be around 5-6%.
Profitability:
EBIT margin is expected to expand both year-on-year and sequentially, potentially reaching 24.5%.
Net profit is also expected to see growth, driven by margin expansion and efficient operations.
BSNL Deal:
Contribution from the BSNL deal is expected to decrease, impacting revenue growth.
The deal is set to ramp down further in the coming quarters.
Market Conditions:
The outlook for technology spending is expected to improve in CY25.
There are signs of an acceleration of the initial phase of recovery seen in H1FY25.
Overall:
TCS Q3 FY25 earnings are expected to show steady performance despite some headwinds. While revenue growth may be muted due to furloughs and the BSNL deal ramp-down, margin expansion and efficient operations are expected to drive profitability.
The company’s outlook for the coming quarters is positive, with expectations of improved technology spending and a recovering market..