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TCS Q1 Results FY27: Tata Consultancy Services reports 5% profit growth to ₹13,349 crore, revenue rises 14% to ₹72,275 crore, declares ₹12 interim dividend and reports a $9.5 billion order book.
Reviewed and Rewrite by
Rudransh Sangwan
Tata Consultancy Services (TCS) reported a steady performance for the first quarter of FY27, with consolidated net profit rising 5% year-on-year to ₹13,349 crore, while revenue increased 14% to ₹72,275 crore. The IT giant also declared an interim dividend of ₹12 per share, maintained a strong $9.5 billion order book, and continued expanding its AI business, with annualised AI revenue reaching $2.6 billion.
India's largest IT services company, Tata Consultancy Services (TCS) announced its financial results for the quarter ended June 2026 after market hours on Thursday.
The company posted a consolidated net profit of ₹13,349 crore, up 5% from ₹12,760 crore reported in the corresponding quarter last year.
Revenue from operations climbed 14% year-on-year to ₹72,275 crore, reflecting continued business momentum despite global macroeconomic uncertainties.
| Particulars | Q1 FY27 | Q1 FY26 | YoY Change |
|---|---|---|---|
| Revenue | ₹72,275 Cr | ₹63,437 Cr | +14% |
| Net Profit | ₹13,349 Cr | ₹12,760 Cr | +5% |
| Operating Margin | 24.0% | - | - |
| Net Margin | 19.2% | - | - |
| Net Cash from Operations | ₹12,412 Cr | - | 93% of Net Income |
The Board of Directors declared an interim dividend of ₹12 per equity share for FY27.
| Dividend Details | Information |
|---|---|
| Interim Dividend | ₹12 per equity share |
| Record Date | July 15, 2026 |
| Financial Year | FY27 |
The dividend announcement reinforces TCS' long-standing track record of rewarding shareholders through consistent payouts.
TCS reported a total contract value (TCV) of $9.5 billion during the quarter, reflecting sustained client demand across digital transformation and AI-led projects.
Major deal wins included:
The healthy deal pipeline provides strong revenue visibility for upcoming quarters.
Artificial Intelligence remained one of the biggest growth drivers for TCS during the quarter.
The company reported an annualised AI revenue run rate of $2.6 billion, representing a 13.6% quarter-on-quarter increase.
TCS also announced strategic partnerships with leading AI companies:
The company secured multiple AI-related projects covering:
TCS CEO K Krithivasan said customer investments continue to rise across AI, cybersecurity, cloud migration and digital transformation despite ongoing geopolitical and macroeconomic challenges.
According to the company, enterprises remain focused on:
TCS ended the June quarter with a workforce of 5,93,798 employees.
The company's IT services attrition rate stood at 13.6% over the last twelve months.
During the quarter, TCS also:
Business performance remained mixed across industry verticals.
| Segment | Performance |
|---|---|
| BFSI | Strong growth |
| Technology & Services | Positive growth |
| Regional Markets | Healthy growth |
| Consumer Business | Declined sequentially |
| Manufacturing | Slight decline |
| Life Sciences & Healthcare | Marginal decline |
| Energy, Resources & Utilities | Slight decline |
The BFSI segment remained the strongest contributor, while consumer-facing businesses witnessed softer demand.
India continued to outperform global markets during the quarter.
| Geography | Performance |
|---|---|
| India | Strongest growth |
| North America | Slight sequential decline |
| United Kingdom | Marginal growth |
| Continental Europe | Slight decline |
Although revenue improved, operating margins remained under pressure following annual wage revisions implemented during the quarter.
Chief Financial Officer Samir Seksaria stated that TCS continues investing in AI capabilities, strategic partnerships and long-term competitiveness while maintaining disciplined profitability.
Despite delivering steady earnings, investors will continue monitoring:
TCS' expanding AI ecosystem, robust order pipeline and consistent dividend policy continue to strengthen its long-term growth outlook.
TCS reported a consolidated net profit of ₹13,349 crore, up 5% year-on-year.
The company announced an interim dividend of ₹12 per equity share for FY27.
Revenue from operations increased 14% YoY to ₹72,275 crore.
TCS reported an annualised AI revenue run rate of $2.6 billion, growing 13.6% sequentially.
The company reported a Total Contract Value (TCV) of $9.5 billion in Q1 FY27.