TCS net jumps 33% to Rs 630 cr

India's largest software services exporter Tata Consultancy Services Ltd (TCS) has posted an over 33 per cent increase in its net profit at Rs 630 crore for the quarter ended June 30, 2005, compared with Rs 474.07 crore in the corresponding quarter of the previous year.

Net revenues of the company registered a 24.56 per cent increase at Rs 2,712 crore for the current quarter against Rs 2,184.52 crore for the corresponding quarter in the previous year.

Tata Infotech, the global systems integration company which is being merged with TCS, has posted a 72 per cent increase in its net profit at Rs 22.7 crore for the quarter ended 30 June compared with Rs 13.19 crore during the corresponding quarter of the previous year.

Revenues for the quarter grew by 18 per cent at Rs 207 crore against Rs 175 crore in the corresponding quarter of the previous year.

S Ramadorai, CEO and MD of TCS, said: "TCS continues to drive along its high growth path and there has been great traction for our information technology, business process outsourcing and engineering services across geographies and industry verticals. We are scaling up our global execution capability to implement our growth strategies and create value for customers."

According to Ramadorai, the company added 68 new clients in the first quarter and added 2,690 employees in the current quarter with an attrition rate of 8.2 per cent.

TCS has bagged several international contracts including a $100 million order from a US-based financial services firm. It has also formed a strategic partnership with the Chinese government.

The company has won five new BPO deals during Q1 across the banking, telecom and hospitality verticals.

Three existing customers of the company committed significant volume growth during the next 12 months.

TCS has created an additional capacity of 4,000 seats to plan for this growth.