Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Google
Web www.equitybulls.com
Union Budget
Budget 2011-2012 Home
Industry Expectations - Budget 2011-2012
Industry Reactions - Budget 2011-2012
Budget 2010-2011
Budget 2010-2011 Home
Industry Expectations - Budget 2010-2011
Industry Reactions - Budget 2010-2011
Contributor's Corner
Bonanza Portfolio
Hemant K Gupta
Krish Bhatt
S A A R T H I
Trinity Investments
Exchange Information
BSE 2009 Holidays
NSE 2009 Holidays
Investor Guide
Depository & Dematerialisation
Grievance Redressal
Investor Guide
SEBI
Trading of Securities
Transfer of Securities
Your Rights
Budget 2009-2010
Budget 2009-2010 Home
Industry Expectations - Budget 2009-2010
Industry Reactions - Budget 2009-2010
Interim Budget 2009-2010 Home
Industry Expectations - Interim Budget 2009
Budget 2008-2009
Railway Budget 2008-2009
Industry Expectations - Budget 2008
Union Budget 2008-2009
Highlights of Budget 2008-2009
Summary of Budget 2008-2009
Industry Reactions - Budget 2008
IPOs
Current IPOs
Past IPOs
IPO Subscription
Mutual Funds
Gold Exchange Traded Fund
MF Unique Holding
Forthcoming Dividends
ELSS Schemes Comparison
Tax Plans
New Fund Offers
Research
Arbitrages
Equity
Market Whispers
Tax Planning
Home
Equity Linked Savings Scheme
Post Office MIS
9% GOI Senior Citizens Savings Scheme
8% Savings (Taxable) Bonds
Kisan Vikas Patra
National Savings Certificate
Public Provident Fund
Research

| More

TCS (TCS IN) - Revenue growth way below street expectation - Cholamandalam Securities

Posted On: 2016-10-16 08:05:42

In 2QFY17, TCS consolidated revenue stood at INR 292,840mn (-0.1% QoQ, +7.8% YoY), way below street expectation and lowest growth in company’s history; In CC terms revenue grew by 1% QoQ (+3.1% QoQ in 1QFY17) aided by volume growth of 1.3% QoQ. Dollar revenue stood at USD 4,374mn (+0.3%QoQ, 5.2% YoY).

Despite revenue headwinds, EBITDA margin expanded by 100bps QoQ to 27.7%; EBITDA grew 3.5% sequentially to INR 82,130mn. EBIT Margin expanded by 94 bps QoQ at 26% in 2QFY17 aided by operation efficiency. APAT grew 4.3% QoQ to INR 65,860mn, largely due to higher other income in 2QFY17 which grew by 9.2% QoQ.

Amongst geography, Europe, Asia pacific and North America grew by 3.7% QoQ, 3.5% QoQ and 1.4% QoQ in CC term respectively; while India declined by 7.6% QoQ and UK was flat during the quarter. Amongst verticals, Barring Communication media & others (+7.2% QoQ in USD terms) and BFSI other verticals witnessed de-growth during the quarter. Energy & utility, Manufacturing Hi-Tech, Retail CPG and Life Science & Healthcare declined by 4.5 QoQ/ 2.3% QoQ/0.8% QoQ /3.8% QoQ respectively in dollar term.

Valuation: Management has maintained the EBIT margin in the range of 26%-28%, implying further expansion over 2HFY17. Management indicated better performance in the next 2 quarters of 2HFY17 in terms of revenue growth, aided by India Business and retail deals. Management indicated that this was the unusual quarter for the company as uncertainties environment across the world holding discretionary spending. At CMP price stock is trading at P/E of 17.5X /16.5X FY17E and FY18E EPS. Based on the consensus, estimates we assign a target P/E of 17X on FY18E, with target price of INR 2,440 with MARKETPERFORMER rating.

Risks: Visa uncertainties, lower discretionary spend, pricing pressure, INR appreciation are key risks.

Shares of TATA CONSULTANCY SERVICES LTD. was last trading in BSE at Rs.2328.5 as compared to the previous close of Rs. 2380.1. The total number of shares traded during the day was 396220 in over 6377 trades.

The stock hit an intraday high of Rs. 2367.85 and intraday low of 2323.25. The net turnover during the day was Rs. 928524312.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com


Disclaimer:The article above is a gist / extract of the original report prepared by the research firm / brokerage firm. This article is not to be considered as an offer to sell or a solicitation to buy any securities. This article is meant for general information only. www.equitybulls.com, its employees or owners or the research firms, its employees or owners won't be responsible for any liability that may arise from information, errors or omissions in these articles. www.equitybulls.com or its employees or owners / the research firms or its employees or clients or owners may from time to time hold positions in securities referred in this article. For detailed research reports, please contact the concerned research firm directly.





Other Headlines:

Pharmaceutical - Results Preview - Mixed Performance in the US Biz; Domestic Biz to See Moderate Growth - Reliance Securities
Cyient - Result Update - BUY- Soft as Expected, Order Book Healthy - Reliance Securities
TCS - 3QFY17 Result Update - REDUCE - Good Quarter, but Top-level Rejig a Headwind - Reliance Securities
Views on Infosys Ltd 3QFY2017 Results: Angel Broking
Bajaj Corp - Result Update - BUY - Decent Performance; Recovery in Sight - Reliance Securities
Infosys - 3QFY17 Result Update - BUY - Encouraging Performance, BFSI Strength Enthuses - Reliance Securities
Views on Tata Consultancy Services Limited 3QFY2017 Results: Angel Broking
CPSE ETF Note - Further Fund Offer of CPSE ETF - Reliance Securities
Capital Goods - Thematic Report - Imminent Capex Visibility in T&D Space to Aid Key Segmental Players - Reliance Securities
FMCG - Results Preview - Demonetisation Steals the Show...Literally! - Reliance Securities
IndusInd Bank - Result Update - BUY - Stellar Performance Continues ... Reiterate BUY - Reliance Securities
Cement Monthly Sector Update - Realizations Softened on Insipid Demand - Reliance Securities
Jubilant FoodWorks - Initiating Coverage - BUY Risk Reward Ratio Turning Favourable despite Near-term Uncertainties - Reliance Securities
Cyient - Initiating Coverage - BUY - Engineered for Growth - Reliance Securities
Aurobindo Pharma - Event Update - BUY - Generis acquisition to boost margin - Reliance Securities
Initiating Coverage - KEI Industries: Angel Broking
L&T Construction Wins Orders Valued Rs. 3039 Crores
Infosys (INFO IN) - Result in-line with street expectation; guidance disappoints - Cholamandalam Securities
BUY Dishman Pharma - Better traction expected from CRAMS and disinfectants: AnandRathi Institutional Research
Neutral on ICICI Prudential Life Insurance Co. Ltd. IPO - Angel Broking
ICICI Prudential Life Insurance Company Ltd - IPO Note - Religare
ICICI Prudential Life Insurance Co. Ltd. - Pure play on life insurance - Geojit BNP Paribas
Fiberweb India Ltd - Set to grow at a rapid pace; initiate with BUY - BOB Capital Markets Ltd
BUY Bajaj Electricals - Growth momentum in all divisions expected in 2HFY17: AnandRathi Institutional Equity
Majesco Ltd - Well-placed to Leverage Conducive Industry Tailwinds - Reliance Securities
HCL Technologies - Event Update - Automation Focus a Key Differentiator - Reliance Securities
Aurobindo Pharma - 1QFY2017 Result Update - Angel Broking
HOLD India Cements - Subdued quarter; prices to recover: AnandRathi Institutional Research
Cement - 1QFY17 Results Review - Robust performance continues on cost benefits - Reliance Securities
NTPC 1QFY17: Result Review - In line with our expectations - Maintain BUY - Reliance Securities
KNR Constructions - 1QFY2017 Result Update - Angel Broking
BUY NRB Bearings - Margin expansion in Q1 leads to robust profitability: AnandRathi Institutional Reserach
BUY AIA Engineering - Margins likely to hold: AnandRathi Institutional Reserach
BUY Vivimed Labs - Better pharma growth, lower interest cost drive earning - Anand Rathi
Radico Khaitan - 1QFY2017 Result Update - Angel Broking
BUY KNR Constructions - Strong beginning, move toward a high-growth trajectory; AnandRathi Institutional Research
Dishman Pharmaceuticals - 1QFY2017 Result Update - Angel Broking
BUY Ahluwalia Contracts India - Steady growth intact: AnandRathi Institutional Research
BUY JK Lakshmi Cement - Strong start; growth set to endure: AnandRathi Institutional Research
Ahluwalia Contracts India Ltd - 1QFY17 Result Update - BUY - Healthy Performance Continues - Reliance Securities
Sun Pharmaceuticals - 1QFY2017 Result Update - Angel Broking
BUY MRF - Outstripping yet again: Anand Rathi Institutional Research
Bajaj Electricals - 1QFY2017 Result Update - Angel Broking
Lupin - 1QFY2017 Result Update - Angel Broking
Cadila Healthcare - 1QFY2017 Result Update - Angel Broking
BUY Jyothy Laboratories - With multiple triggers, outlook 'bright': Anand Rathi Institutional Research
IPCA Laboratories - 1QFY2017 Result Update - Angel Broking
Cipla - 1QFY2017 Result Update - Angel Broking
HCL Technologies - 1QFY2017 Result Update - Angel Broking
Tech Mahindra - 1QFY2017 Result Update - Angel Broking


Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2016