KRITHIVASAN
AI services lift IT companies’ Q2 earnings: TCS doubles YoY intake, Infy reports 29% QoQ rise
The latest quarterly results from India's leading IT companies demonstrate remarkable growth, primarily driven by the surge in artificial intelligence services. Tata Consultancy Services saw its AI revenue double year-over-year, and both HCLTech and Infosys reported significant increases in profits and revenues. Wipro took a more cautious approach, not disclosing AI figures but emphasizing transformation for its clients through AI solutions.
IT companies likely to see 2-3% AI led deflation over the next 1-2 years
The rise of artificial intelligence is anticipated to contribute to ongoing revenue challenges within the IT services sector. Leading firms such as Tata Consultancy Services and Wipro have begun to adapt their revenue models. While some leaders believe AI-related growth may soon balance out traditional losses, worries about AI-induced deflation and reduced discretionary spending linger. Analysts suggest that these trends could persist until at least FY29 during contract renewals.
Software majors add more hands in Q2 on deal wins, growth optimism
Data showed the top six had added a net 5,500 to their rolls in the April-June quarter. Employee data of Infosys, the country’s second-largest software exporter, isn’t included in these calculations as the company is due to announce earnings on October 23 and hasn’t shared its latest manpower data.
From worst to best: How IT stocks staged a Rs 2.6 lakh crore revival this week
Indian IT stocks staged a sharp comeback this week, adding Rs 2.6 lakh crore in market value as the sector gained 12% to become the best-performing index. Better-than-expected Q2 earnings, positive management commentary and a selloff in AI-linked stocks helped revive sentiment, even as concerns over AI adoption and earnings growth persist.
Rs 82,500 crore rally in 3 days: Why TCS, HCL Tech, other IT stocks jumped up to 12% in 3 days and will the boom last?
Indian IT stocks have rebounded sharply. The Nifty IT index has risen 8%, adding Rs 82,500 crore to the sector’s market capitalisation. The rebound follows a selloff in global AI-linked stocks driven by concerns over stretched valuations, concentration risks and uncertain returns on heavy AI investments.
Zetwerk IPO eyes big returns; Flipkart alumni seek Esop buyback
Zetwerk’s early investors are poised for big gains as the platform prepares to go public. This and more in today’s ETtech Top 5.
AI revenue should offset traditional services deflation: TCS CEO K Krithivasan
Due to the continuing pressure on companies amid geopolitical strife, TCS is assuming client budgets will not rise. It is, however, banking on customers spending on AI and modernisation. AI revenue - which crossed 10% of the total in the September quarter - should compensate for deflation in traditional services in the medium term, the CEO said.
Don't see US acting against tech companies based on their domicile: TCS
TCS does not expect the US to target technology companies based on whether they are Indian or American, with CEO K Krithivasan saying recent immigration actions appear driven more by concerns over local employment. He said last week’s PERM suspension would have no material impact on TCS, which filed only about 10 green-card applications and fewer than 300 H-1B applications last year, while more than half of its 30,000-plus US employees are locally hired.
TCS to hire 80 pc of workforce with digital, AI skills; AI work to expand profitability
TCS expects about 80% of its new hires to have digital and AI-related skills as the company shifts towards more AI-led work. With AI-linked revenue already accounting for around 10% of its business, TCS also expects a greater share of such deals to support margins, while continuing to invest in niche talent, acquisitions and partnerships.
US green card freeze: TCS, Infosys, Wipro, HCLTech had just 61 certified PERM cases in FY26
HCL America recorded 59 certified cases and TCS only two. Infosys and Wipro had no recorded cases in the period and neither did US-headquartered Cognizant.
Explained: Why IT stocks ignored Donald Trump’s PERM suspension to gain Rs 70,000 crore in one day
IT stocks rallied up to 4% on Friday, adding Rs 70,000 crore in market capitalisation, despite the US suspension of a labour certification programme. Strong Q2 results from TCS, easing oil prices and bond yields, and developments around OpenAI also supported sentiment. TCS gained after reporting 15% profit growth, while brokerages flagged near-term margin pressures and evolving AI-related risks.
TCS shares jump 4% after Q2 results. What are Goldman Sachs, Nomura, others saying?
TCS Share Price: Tata Consultancy Servies shares surged after the IT major reported a 15% year-on-year rise in Q2 consolidated net profit to Rs 13,884 crore. Revenue in constant currency terms grew 0.5% quarter-on-quarter, while operating margin stood at 24%. The company declared a second interim dividend of Rs 12 per share for FY27.
Infosys, TCS, Wipro and other IT stocks rise up to 4%. Here are 3 important triggers to watch
IT stocks including TCS, Infosys, Wipro, HCLTech, Tech Mahindra, Coforge and Persistent Systems rose up to 4% on Friday. The gains came amid a confluence of factors, including second-quarter earnings and the US suspension of a certification programme. TCS and Wipro were among the key gainers, while midcap IT stocks also saw strong buying interest during the session.
TCS Q2 profit rises 15% to Rs 13,884 crore as AI revenue doubles; growth remains subdued
TCS reported a 15% year-on-year rise in September-quarter net profit to Rs 13,884 crore, while revenue grew 11.2% to Rs 73,188 crore. AI services revenue doubled to $3.1 billion annually, but constant-currency growth was just 0.5%. Margins narrowed to 24% as hiring and operating costs increased.
TCS dividend! IT giant declares second interim dividend of Rs 12 per share for FY27
TCS announced a second interim dividend of Rs 12 per share for FY27 after reporting a 15% rise in Q2 net profit to Rs 13,884 crore. Revenue grew 11% to Rs 73,188 crore, while operating margin stood at 24%.
TCS Q2 results: Profit rises 15% YoY to Rs 13,884 crore; co declares dividend at Rs 12 per share
TCS Q2 Results 2026: IT services major Tata Consultancy Services (TCS) reported 15% year-on-year (YoY) growth in its consolidated net profit at Rs 13,884 crore for the second quarter. Also the company has declared a second interim dividend of Rs 12 per share for the financial year 2026-27.
TCS’ HyperVault to build 1 GW AI data centre campus in Hyderabad with Rs 70,000 cr investment
HyperVault, a TCS subsidiary, will develop a large AI data centre campus in Hyderabad. This facility will have a 1 Gigawatt capacity and significant investment. The project aims to support frontier AI companies and hyperscalers globally. It will create thousands of jobs and utilize green energy principles. Telangana's Chief Minister called the project historic for the state.
Krithivasan starts off strongly at TCS; analysts welcome his measured approach
Top officials close to the development said Krithivasan is preparing TCS to pivot towards artificial intelligence (AI) to ensure future readiness. This includes pushing innovation and incubation of start-up ideas, upskilling and cross-skilling employees with AI-based tools to leverage the potential arising from AI deployment in businesses.
TCS will continue to bet on Cloud, cybersecurity, Gen AI: new CEO K Krithivasan
Tata Consultancy Services' new chief K Krithivasan, in his first mail to employees after assuming office, gave a sneak peek into the company's future bets while also recounting some of his positive experiences during his 34-year journey at the company.
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