TCS share price climb nearly 3% post earnings announcement

New Delhi: Shares of Tata Consultancy Services (TCS) climbed nearly 3 per cent in morning trade on Thursday after the company reported a 16.83 per cent increase in its June quarter net profit to Rs 11,074 crore.

The stock rallied 2.59 per cent to Rs 3,344.75 on BSE.

It was the biggest gainer among the 30-share BSE Sensex firms in morning trade.

At the NSE, it climbed 2.73 per cent to Rs 3,349.

A rally in the stock was instrumental in helping the equity markets trade firm. The 30-share BSE Sensex quoted 577.43 points or 0.88 per cent higher at 65,971.33, and the NSE Nifty traded with a jump of 168.65 points or 0.87 per cent to 19,552.95.

The Tata Group company had reported a net profit of Rs 9,478 crore in the year-ago period and Rs 11,392 crore in the preceding quarter.

Its revenue from operations increased 12.55 per cent on a year-on-year basis to Rs 59,381 crore and was marginally up from the preceding March quarter's Rs 59,162 crore.

TCS is the first major company to report its June quarter results.

It can be noted that with headwinds in its key markets, the USD 250 billion Indian IT sector is widely expected to report volatility in the near term.

In a statement, the company said its order book now stands at USD 10.2 billion and termed it a "robust" one.

Its newly appointed chief executive and managing director K Krithivasan said, "We remain confident in the longer-term demand for our services, driven by the emergence of newer technologies".