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TCS net profit rises 7 percent in FY09 Q1, warns of "difficult" times ahead



By Sandeep Singh
17 July 2008 @ 1:25 am IST


S. Ramadorai, CEO  of Tata Consultancy Services (TCS)
S. Ramadorai, chief executive officer of Tata Consultancy Services (TCS), speaks during a news conference to announce quarterly financial results in Mumbai July 16, 2008. India's top software services and consulting firm, Tata Consultancy Services (TCS) has reported a 7 percent rise in net profit for the fiscal quarter ended June 30, 2008, in line with market expectations, even as it gave a grim warning of slowdown in outsourcing business prospec...
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Geographically, revenues from the Americas, Europe and India grew by 23.23 percent, 25.13 percent and 40.52 percent respectively (YoY basis).

Earnings per share or EPS was up 12.12 percent to Rs.12.30, from Rs.10.97 during the corresponding period a year earlier.

During the quarter under review, the IT firm said it added 35 new clients whereas 8982 employees joined the company taking total strength of the workforce to 116,308.

Attrition rate stood at 12.8 percent overall, TCS said, adding, that it was 12.1 percent in the IT services business and 20.5 percent in the BPO segment.

"Our retention rates for employees continue to be the highest in the industry and we remain on course with our hiring plans for this financial year," Ajoy Mukherjee, vice president, head (global human resources), said.

"We are also working to increase the productivity and utilization rates of our employees," he added.

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