This week, we are focusing on TCS ( Tata Consultancy Service ).
Read below the detailed information about TCS
Company Genesis & Profile:
Brief Company Profile: TCS aka Tata Consultancy Service is one of the most reputed and oldest IT companies of India. It was established in 1968 and has its headquarter in Mumbai. TCS is the largest IT employer in India and 3rd largest IT employer in the world just behind IBM and HP, employing roughly around 400,000 lakhs people across the globe. The non-indian employees are around 7% , whereas 31% employees are women.
Inception & Founders: TCS was founded in 1960s in India by JRD Tata and FC Kohli under the aegis of TATA sons limited. Initially it used to cater the needs of TISCO and then later on expanded it services to non TATA companies.
Chairman & Directors: Natarajan Chandrasekaran is the chairman & Rajesh Gopinathan is the CEO & MD of TCS.
Customer Segment & Area of Operations: TCS mainly provides services in IT, business consulting, business solutions & outsourcing services to clients in more than 42 different countries across continents. TCS delivers services in segments like BFSI, energy, telecommunication, media & information service, government, resources & utilities, life sciences , healthcare , travel , transportation and hospitality, many more.
Confidence Booster of Investors: Following pointers will boost the confidence of any stock market analyst. As these highlight the favourable business outcomes for TCS.
- TCS is debt free
- Tata Consulting Services has recorded a ROE of 36.45% for about 3 years
- The IT giant has been able to maintain the dividend payout of 47.3%
| TCS Quick Financial Information | Information |
| Market Cap. | ₹ 5,73,759.85 Cr. |
| Current Price | ₹ 2,997.25 |
| Book Value | ₹ 549.39 Cr. |
| Stock P/E | 22.43 |
| Dividend Yield | 1.61% |
| Face Value | ₹ 1.00 |
| 52 Week High/Low | ₹ 3,259.05 / ₹ 2,214.95 |
| Return on equity | 32.80% |
| Debt to equity | 0 |
| Current ratio | 2.71 |
| Return on invested capital | 78.47% |
| Return on assets | 35.86% |
| Operating cash flow 3 years | ₹ 63,700.78 Cr. |
| Cash from operations last year | ₹ 25,223.00 Cr. |
| PEG Ratio | 1.12 |
| Price to Earning | 22.43 |
| Price to book value | 5.46 |
| EPS | ₹ 133.61 |
| Holder's Name | % Shareholding |
| Promoters | 73.57 |
| Foreign Institutions | 16.26 |
| Financial Institutions | 4.81 |
| General Public | 3.6 |
| Banks & Mutual Funds | 1.27 |
| Others | 0.45 |
| Central Govt | 0.05 |
| S.No. | Name | CMP (in ₹ ) | P/E | Mar Cap (in Cr.) | Div Yld % | NP Qtr (in Cr.) | Qtr Profit Var % | Sales Qtr (in Cr.) | Qtr Sales Var % | CMP / BV |
| 1 | TCS | 2997.25 | 22.43 | 5,73,759.85 | 1.61 | 6545 | -3.95 | 30904 | 3.93 | 5.46 |
| 2 | Infosys | 1107.75 | 15.32 | 2,41,942.80 | 2.44 | 5129 | 38.32 | 17794 | 3.02 | 2.98 |
| 3 | HCL Technologies | 953.85 | 14.81 | 1,32,791.94 | 2.58 | 2075 | 0.58 | 12809 | 8.42 | 3.37 |
| 4 | Wipro | 294.65 | 15.74 | 1,33,286.22 | 0.36 | 1930.1 | -8.73 | 13669 | -0.14 | 2.3 |
| 5 | Tech Mahindra | 606.7 | 18.89 | 59423.34 | 1.48 | 924.36 | 9.41 | 7775.96 | 2.89 | 3.13 |
| 6 | Oracle Fin.Serv. | 4173.85 | 27.47 | 35640.6 | 4.06 | 341.91 | 17.15 | 1189.53 | 11.66 | 8.96 |
| 7 | L & T Infotech | 1176.9 | 18.78 | 20234.91 | 1.4 | 282.8 | 14.03 | 1883.8 | 13.03 | 5.1 |
| Quarters | Sep 2016 | Dec 2016 | Mar 2017 | June 2017 | Sep 2017 | Dec 2017 |
| Sales | 29,284.00 | 29,735.00 | 29,642.00 | 29,584.00 | 30,541.00 | 30,904.00 |
| Expenses | 21,171.00 | 21,506.00 | 21,510.00 | 22,171.00 | 22,377.00 | 22,617.00 |
| Operating Profit | 8,113.00 | 8,229.00 | 8,132.00 | 7,413.00 | 8,164.00 | 8,287.00 |
| OPM | 27.7 | 27.67 | 27.43 | 25.06 | 26.73 | 26.82 |
| Other Income | 1,057.00 | 1,192.00 | 997 | 959 | 819 | 870 |
| Depreciation | 496 | 496 | 505 | 499 | 504 | 506 |
| Interest | 5 | 7 | 8 | 27 | 7 | 6 |
| Profit before tax | 8,669.00 | 8,918.00 | 8,616.00 | 7,846.00 | 8,472.00 | 8,645.00 |
| Tax | 2,066.00 | 2,104.00 | 1,994.00 | 1,896.00 | 2,012.00 | 2,100.00 |
| Net Profit | 6,603.00 | 6,814.00 | 6,622.00 | 5,950.00 | 6,460.00 | 6,545.00 |
| Years | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 | TTM |
| Sales | 62,989.48 | 81,809.36 | 94,648.41 | 1,08,646.00 | 1,17,966.00 | 120671 |
| Expenses | 44,949.57 | 56,656.57 | 70,166.70 | 77,969.00 | 85,655.00 | 88675 |
| Operating Profit | 18,039.91 | 25,152.79 | 24,481.71 | 30,677.00 | 32,311.00 | 31996 |
| OPM | 28.64 | 30.75 | 25.87 | 28.24 | 27.39 | 26.51 |
| Other Income | 1,178.23 | 1,636.74 | 3,719.66 | 3,084.00 | 4,221.00 | 3645 |
| Interest | 48.49 | 38.52 | 104.19 | 33 | 32 | 48 |
| Depreciation | 1,079.92 | 1,349.15 | 1,798.69 | 1,888.00 | 1,987.00 | 2014 |
| Profit before tax | 18,089.73 | 25,401.86 | 26,298.49 | 31,840.00 | 34,513.00 | 33579 |
| Tax | 4,014.04 | 6,069.99 | 6,238.79 | 7,502.00 | 8,156.00 | 8002 |
| Net Profit | 13,917.31 | 19,163.87 | 19,852.18 | 24,270.00 | 26,289.00 | 25577 |
| EPS (unadj) | 67.29 | 93.63 | 87.9 | 115.65 | 124.39 | - |
| Dividend Payout | 30.94 | 32.71 | 77.95 | 35.32 | 35.23 | - |
| Years | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 |
| Cash from Operating Activity | 7,127.44 | 11,614.96 | 14,751.41 | 19,368.78 | 19,109.00 | 25,223.00 |
| Cash from Investing Activity | -2,727.45 | -6,037.61 | -9,451.67 | -1,807.14 | -5,010.00 | -16,895.00 |
| Cash from Financing Activity | -3,955.09 | -5,729.48 | -5,673.24 | -17,167.61 | -9,666.00 | -11,026.00 |
| Net Cash Flow | 444.9 | -152.13 | -373.5 | 394.03 | 4,433.00 | -2,698.00 |
| Years | Mar 2012 | Mar 2013 | Mar 2014 | Mar 2015 | Mar 2016 | Mar 2017 |
| Share Capital | 295.72 | 295.72 | 195.87 | 195.87 | 197 | 197 |
| Reserves | 29,283.51 | 38,350.01 | 48,998.89 | 50,438.89 | 70,875.00 | 86,017.00 |
| Borrowings | 126.55 | 232.27 | 296.87 | 357.7 | 245 | 289 |
| Other Liabilities | 11,724.71 | 13,389.87 | 17,646.15 | 22,668.42 | 17,814.00 | 17,056.00 |
| Total Liabilities | 41,330.49 | 52,167.87 | 67,137.78 | 73,660.88 | 89,131.00 | 1,03,559.00 |
| Fixed Assets | 8,662.06 | 9,828.01 | 9,544.33 | 11,638.17 | 11,774.00 | 11,701.00 |
| CWIP | 1,446.37 | 1,895.36 | 3,168.48 | 2,766.37 | 1,670.00 | 1,541.00 |
| Investments | 1,350.33 | 1,897.34 | 3,433.74 | 1,661.78 | 22,822.00 | 41,980.00 |
| Other Assets | 29,871.73 | 38,547.16 | 50,991.23 | 57,594.56 | 52,865.00 | 48,337.00 |
| Total Assets | 41,330.49 | 52,167.87 | 67,137.78 | 73,660.88 | 89,131.00 | 1,03,559.00 |
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