Tata Consultancy Services (TCS) recently announced its fourth-quarter results for the period ending March 31, 2024. The company reported a net profit of ?12,434 crore, reflecting a year-on-year growth of 9.1 per cent. Along with this, TCS also reported a modest improvement in employee retention, as the attrition rate dipped to 12.5 per cent, down from 13.1 per cent in the previous quarter.
TCS’s chief HR officer, Milind Lakkad, attributed the improved employee retention to the company’s consistent policy of annual increments. TCS has a history of rewarding its workforce with yearly raises, and this quarter was no different. Lakkad also linked the improved morale and a positive work environment to these strategic pay increases. He further highlighted recent campus recruitment drives, increased client visits to TCS facilities, and a gradual return to office work as contributing factors to the improved morale.
N Ganapathy Subramaniam, TCS’s chief operating officer and executive director, emphasized the company’s strong performance in Q4. He cited a broad spectrum of successful deals secured across various industries and geographies, showcasing TCS’s adaptability and reach. Subramaniam highlighted the contribution of the company’s products and platforms business, citing the recent “mega-deal win” with Aviva as an example of its success. He also drew attention to the continued strong showing of emerging markets, which he credited to TCS’s diversified portfolio. This focus on multiple revenue streams positions the company for consistent growth regardless of regional economic fluctuations.
While TCS acknowledges the challenge of retaining talent in a competitive market, the company’s commitment to rewarding top performers, fostering a positive work environment, and its diversified business strategy position it well for continued success in the coming quarters. The news from TCS paints a cautiously optimistic picture.
