TCS Q2 growth may suffer because of slump in BFSI, retail businesses

The country’s biggest IT services firm Tata Consultancy Services (TCS) is likely to see continued softness in its banking, financial services and insurance (BFSI) as well as retail verticals in the current quarter, impacting its growth numbers.

In a recent investors’ meet with brokerage firms such as ICICI Securities and Sharekhan among others, the top management of TCS blamed slow recovery in these key verticals for the softness. Company executives said both macroeconomic and client-specific factors have had a role to play.

“Given persistence of issues in the capital markets and European banking sub-segments, growth in the (BFSI) vertical is