Chennai rains might impact Q3 revenue: TCS

Tata Consultancy Services Ltd (TCS) said it is expecting a substantial impact on the company's revenues in the seasonally weak third quarter ending December 31, 2015 owing to the recent Chennai rains.

The IT major's 13 facilities in Chennai have re-opened for normal functioning on Monday, December 7, 2015.

The company said attendance rates were lower than normal as employees were still recovering from the flood's aftermath.

Chennai is one of the company's largest delivery locations, with over 65,000 employees. The company's facilities in the city were rendered inoperabled since December 1 due to extreme weather conditions and subsequent flooding

 

"TCS teams have worked very hard to ensure that our customer's mission critical operations have contained to function smoothly by deploying a robust Business Continuity Plan which leverages other TCS centers in India and overseas. An operation control center was also set up to coordinate all efforts and ensure availablity of supporting infrastructure on a 24*7 basis for the key teams supporting customers were needed," TCS said in a statement.

On Thursday, TCS said that it has set aside up to Rs 1,100 crore for interest free cash advances as relief for TCS employees in Chennai, which saw one of its worst floods and rains in its 100 years history. The money will be used to provide loans to employees and for other purposes.