TCS Q2 results: Net profit up 15% to Rs 13,884 crore, revenue rises 11.78%

Tata Consultancy Services (TCS), the country’s leading software services company, delivered a healthy performance in the quarter ended September 2026, with net profit (attributable to shareholders) rising to Rs 13,884 crore in the quarter, compared with Rs 12,705 crore a year earlier, registering a 14.98% year-on-year (y-o-y) increase.

The net profit was also marginally higher than the Rs 13,349 crore recorded in the June 2026 quarter, indicating broadly stable profitability on a sequential basis. The consolidated revenue of TCS increased to Rs 74,525 crore from Rs 66,666 crore in the year-ago period. The 11.78% y-o-y rise also marked an improvement over Rs 73,843 crore reported in the preceding June quarter, pointing to sustained business momentum during the quarter.

The company also reported an annualised AI revenue at over $3 billion. Further, the board declared a dividend per share of Rs 12 and fixed the record date as October 14, 2026. A lion's share of the dividend outgo will go to Tata Sons which holds 72% stake in the company. The company’s operating margin came in at 24%, while its net margin stood at 19%.

K Krithivasan, Chief Executive Officer (CEO) and Managing Director (MD), said “We are pleased with the broad-based growth in all our international markets and most industry segments. This quarter we announced two unique deals with Porsche and Best Buy which represent a new category of transformation partnerships.” “Together with our clients, we are building repeatable value platforms that will industrialize AI at scale,” he said. “AI momentum remained strong, with annualized AI revenues now exceeding $3 billion.

Demand for delivering business outcomes with AI-native solutions, AI-led transformation of enterprise systems and autonomous GBS, continues to accelerate,” Aarthi Subramanian, Executive Director, President and COO, said. “Cybersecurity remains a top priority as customers sharpen their focus on resilience and recovery.

TCS’ Human+AI Services Autonomy model for AMS earned top rankings from customers, underscoring the strength of our differentiated capabilities.” “We continue to build a future-ready workforce through upskilling our employees and hiring top talent. Investments in learning and critical skills drove a 17 per cent sequential increase in learning hours to 17.1 million.

This quarter our employee base reached over 598,000, while attrition remained stable at 13.3 per cent,” Sudeep Kunnumal, Chief Human Resources Officer, said. The company has a workforce of 5.98 lakh. TCS recently announced a five-year strategic partnership with Porsche AG. As part of the deal, the company will establish a dedicated AI mobility centre of excellence for Porsche to drive innovation across manufacturing, engineering, operations and customer experience.

TCS, through its subsidiary, will acquire 100% of MHP Management- und IT-Beratung GmbH (MHP), Porsche’s Germany-based management and IT consulting subsidiary.