Tata Consultancy Services Ltd (TCS), India’s largest IT services exporter, reported a marginal 1.3% increase in net profit at ₹49,454 crore for FY26 compared with the previous year.
Revenue growth steady
Revenue from operations rose 4.6% to ₹2,67,021 crore from ₹2,55,324 crore. The results included exceptional items such as the statutory impact of new labour codes amounting to ₹2,128 crore, restructuring expenses of ₹1,389 crore and a provision towards a legal claim of ₹1,010 crore.
Segment performance
Among verticals, BFSI remained the largest contributor with revenue of ₹1,03,363 crore, followed by consumer business at ₹42,432 crore. Communications, media and technology contributed ₹39,474 crore, life sciences and healthcare ₹27,745 crore, manufacturing ₹26,614 crore, and other segments ₹27,393 crore.
Fourth quarter & final dividend
During Q4, TCS reported 12% increase in its net profit at ₹13,784 crore, while revenue rose 9.6% to ₹70,698 crore.
The board has recommended a final dividend of ₹31 per equity share for FY26.
Deal momentum and AI-led growth
“We are pleased to report the third consecutive quarter of sequential growth, supported by three mega deals and a $12 billion TCV, underscoring the strength of our five-pillar strategy and our AI led positioning across services. It is equally encouraging that this momentum was broad based across major markets and most industries. While the macro-economic headwinds continue, we see sustained customer conviction in technology investments, which positions us well for the opportunities ahead,” Tata Consultancy Services Ltd, Chief Executive Officer and Managing Director, K Krithivasan, said.
Enterprise AI adoption accelerates
“FY26 marked a pivotal year for enterprise AI adoption. In Q4, our annualized AI revenues surpassed $2.3 billion, driven by the accelerated deployment of AI solutions. We experienced strong deal momentum across new services in Enterprise Transformation, Digital Engineering, and Cloud Modernization. Our investment in HyperVault was a catalyst in forging strategic partnerships with OpenAI, AMD and ABB, further strengthening our positioning across Infrastructure-to-Intelligence,” Tata Consultancy Services Ltd, Executive Director – President and Chief Operating Officer, Aarthi Subramanian, said.