Thread by @MarketLearner_

How are TCS result?
Will it go up or down?

Answered🧵

#TCS #Q2FY23 #Earnings #StockMarket #Stocks

Pls Like & Retweet, it motivates me🙏🤗

@KommawarSwapnil @kuttrapali26 @harrie007 @caniravkaria @kaushaldarshan_ @TheFactFindr @Ishan_Narayan_ @abhymurarka @anand1377

(1/11)

Before reading, kindly join our telegram where we post lots of information along with great technical charts everyday!

Use the link below👇
telegram.me/TheMarketLearn…

Contents :-

👉Numbers analysis
👉Management commentary
👉Segment wise analysis
👉Personal Opinion

First, lets do Numbers Analysis📊📊

🔰Revenue was at Rs. 55039 Cr. (+18% yoy, +15% in CC). Expectations were 552798 Cr. Underperformed a bit.

🔰Growth was led by retail (+22.9% CC) & CMI (+18.7% CC).

🔰Major markets performed well, North America (+17.6% CC), UK (+14.8% CC) & Europe (+14.1% CC).

(2/11)

🔰Operating margins were at 24%. Expectations were around 23.8%. Outperformed a bit. Net margins stood at 18.9%.

🔰The company reported a 12 digit net profit for the 1st time.

🔰Order book stood at $8.1 billion. Book : Bill = 1.2.

🔰Attrition for the quarter was 21.5%.

(3/11)

🔰One thing really interesting was the CC revenue growth. It has come pretty good growing @ +15% yoy despite currency impact. Really impressive.

(4/11)

Now, time to look at the management commentary👩‍💼👨‍💼

🔱Rajesh Gopinathan, CEO & MD, said "Demand continues to be strong. We registered growth across all industry verticals & in all major markets. Order book is holding up well with a mix of growth & transformational initiatives, cloud migration & outsourcing engagements."

(5/11)

🔱Samir Seksaria, CFO, said "Headwinds from the supply-side challenges are abating, so that sets up well for the seasonally weak 2nd half of the year."

(6/11)

🔱Milind Lakkad, Chief HR officer, said "We believe our quarterly annualized attrition has peaked in Q2 & should see it taper down from this point, while compensation expectations of experienced professionals moderate."

(7/11)

Now, lets analyze the results segment - wise🔎🔎

🔶Retail & CRG grew +22.9%.

🔶Communications & media grew +18.7%.

🔶Technology & services grew +15.9%.

🔶Manufacturing & Life sciences + healthcare grew +14.5%.

🔶BFSI grew +13.1%.

(8/11)

🔶North American market grew +17.6%.

🔶Continental Europe market grew +14.1%.

🔶UK market grew +14.8%.

🔶Indian market grew +16.7%.

🔶Latin American market grew +19%.

🔶Middle east & African market grew +8.2%.

🔶Asian pacific market grew +7%.

(9/11)

🔶Strong traction in intelligent products, software defined vehicles, connected services, sustainability & energy transition.

🔶Cybersecurity services demand continues to be high.

🔶Digital F&A, agile supply chain & human capital management services grew most in Q2.

(10/11)

Now, time for my personal opinion👨‍💻👨‍💻

🔷IMO, the results are really good. Revenue was below expectations a little bit but with CC growth being so high, margins outperforming, strong commentary from the management, I see some good days for TCS ahead. Comment down your views too🤗🤗

(11/11)

I hope my thread helped you in knowing TCS results better than before. Please don't forget to join our telegram channel its absolutely FREE & we are doing a lot of hard work here. telegram.me/TheMarketLearn…

Thanks for reading,
The Market Learner.