12th January was a huge day for investors in the IT Services sector in India as the top 3 companies of the industry announced their results. Tata Consultancy Services, which is the largest IT Services company by market capitalization and second most valuable firm by market capitalization, reported a 12.3% growth in its consolidated net profits at Rs 9,769 crores. Its consolidated revenue grew by 16.4% to a revenue of Rs 48,885 crores.
All its business verticals have witnessed impressive growth as the company managed to clock in revenues of $25 billion in calendar year 2021. The third quarter of 2021 has seen its strongest growth in the last 5 years. Furthermore, TCS has added 10 new clients in the $100 million+ bracket, taking the total number of such clients to 58. It also added 21 new clients in the $50 million bracket, reaching a total of 118.
However, the biggest highlight of the day was its announcement of Buyback. The Board has recommended a buyback of Rs 18,000 crores, which is its fourth and biggest buyback in the last 5 years. The buyback will be conducted at a price of Rs 4500 per share.
The TCS stock saw a fall of 1.43% on 12th January. The results were announced after the market closed and the share rose 0.98% today.