{"id":134577,"date":"2022-10-11T01:20:00","date_gmt":"2022-10-11T05:20:00","guid":{"rendered":"https:\/\/44.250.171.167\/?p=134577"},"modified":"2022-10-11T01:25:01","modified_gmt":"2022-10-11T05:25:01","slug":"tata-consultancy-services-ltd-q2-fy23-earnings-conference-call-insights","status":"publish","type":"post","link":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q2-fy23-earnings-conference-call-insights\/","title":{"rendered":"Tata Consultancy Services Ltd Q2 FY23 Earnings Conference Call Insights"},"content":{"rendered":"<p><iframe loading=\"lazy\" title=\"TCS Stock | Tata Consultancy Services Ltd Q2 FY23 Earnings Concall\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/63lQS-dOUzM?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p><strong>Key highlights from Tata Consultancy Services Ltd (<a href=\"https:\/\/44.250.171.167\/symbol\/TCS\">TCS<\/a>) Q2 FY23 Earnings Concall<\/strong><\/p>\n<p><strong>Management Update:<\/strong><\/p>\n<ul>\n<li>[00:03:44] TCS said the company expects supply side issues to start easing in 2H23.<\/li>\n<\/ul>\n<ul>\n<li>[00:05:21] The company recruited 35,000 freshers in 1H23, with 20,000 onboarded in 2Q23.<\/li>\n<\/ul>\n<ul>\n<li>[00:13:25]TCS added 5 more clients in the $100 million plus band, taking the total to 59 clients.<\/li>\n<\/ul>\n<p><strong>Q&amp;A Highlights:<\/strong><\/p>\n<ul>\n<li>[00:28:38] Kumar Rakesh of BNP Paribas asked about the drivers of strong growth in Europe and UK geographies. Rajesh Gopinathan MD replied that the company\u2019s participation in technology solutions, which is at the core of both growth, consolidation and optimization, helped it to driver significant growth in those geographies.<\/li>\n<\/ul>\n<ul>\n<li>[00:30:44] Kumar Rakesh of BNP Paribas also enquired about the seasonality trends going forward. Rajesh Gopinathan MD said that apart from the volatility in European, the conversations with clients indicate regular seasonality. Overall, there is no change in seasonality pattern.<\/li>\n<\/ul>\n<ul>\n<li>[00:32:43] Sandeep Agrawal with Edelweiss enquired about any indications of caution from US clients. Rajesh Gopinathan MD clarified that TCS has not seen any threats in terms of caution than normally expected and is seeing a fairly strong environment in US.<\/li>\n<\/ul>\n<ul>\n<li>[00:34:20] Sandeep Shah from Equirus Securities asked if the trend of strong multi-power outsourcing deals is going to continue. Rajesh Gopinathan MD answered that operating model transformation is a strong trend and TCS is seeing multiple opportunities across all markets and it\u2019s also driving strong demand. TCS expects it to continue to remain strong in the foreseeable future.<\/li>\n<\/ul>\n<ul>\n<li>[00:37:19] Sandeep Shah from Equirus Securities enquired if for 2Q23 100% variable pay will be paid or something will be adjusted. Milind Lakkad Chief HR Officer said the company is going to pay 100% of variable pay for 70% of its employees and the rest will get paid based on their performance.<\/li>\n<\/ul>\n<ul>\n<li>[00:40:08] Ravi Menon of Macquarie asked about the net hiring being little lower than the revenue growth. Rajesh Gopinathan MD clarified that TCS is investing significantly in headcount additions through last year. TCS will try to balance its overall headcount to overall revenue from a longer term perspective and added that it\u2019s in line with the plan.<\/li>\n<\/ul>\n<ul>\n<li>[00:41:37] Gaurav Rateria with Morgan Stanley asked if revenue productivity that got impacted due to capacity addition is still continuing. Rajesh Gopinathan MD replied that the company\u2018s overall hiring model is predicated on much longer cycle rather than short-term QonQ adjustments.<\/li>\n<\/ul>\n<ul>\n<li>[00:46:12] Apurva Prasad from HDFC Securities asked about the booking trajectory for 2H23. Rajesh Gopinathan MD said that it\u2019s difficult to say as the company is running at 1.2 time book to bill. Additionally, TCS said that booking trajectory won\u2019t have a significant impact on the company\u2019s business model.<\/li>\n<\/ul>\n<ul>\n<li>[00:54:31] Rahul Jain from Dolat Capital asked about subcon cost trend. Rajesh Gopinathan MD replied that subcon costs have started trending downwards. TCS expects that with borders opening up and visa availability in most countries, subcon cost will start trending down.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Key highlights from Tata Consultancy Services Ltd (TCS) Q2 FY23 Earnings Concall Management Update: [00:03:44] TCS said the company expects supply side issues to start easing in 2H23. [00:05:21] The company recruited 35,000 freshers in 1H23, with 20,000 onboarded in 2Q23. [00:13:25]TCS added 5 more clients in the $100 million plus band, taking the total [&hellip;]<\/p>\n","protected":false},"author":1767,"featured_media":134569,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":"","jetpack_publicize_message":"Tata Consultancy Services Ltd Q2 FY23 Earnings Conference Call Insights #TCS #Q2 #FY23 #Earnings","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[9825,392,8],"tags":[10169,9124],"class_list":["post-134577","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-earnings-call-highlights","category-earnings","category-technology-stocks","tag-earnings","tag-software-technology-services"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/alphastreet.com\/india\/wp-content\/uploads\/2022\/10\/TCS-Info.png","jetpack_likes_enabled":false,"jetpack-related-posts":[{"id":131050,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q1-fy23-earnings-conference-call-insights\/","url_meta":{"origin":134577,"position":0},"title":"Tata Consultancy Services Ltd Q1 FY23 Earnings Conference Call Insights","author":"Praveen","date":"July 11, 2022","format":false,"excerpt":"https:\/\/youtu.be\/DOAeyPKrACU Key highlights from Tata Consultancy Services Ltd (TCS) Q1 FY23 Earnings Concall Management Update: TCS said its LTM attrition in IT services was at 19.7% for the quarter, and expects it to rise further in Q2. Q&A Highlights: Ankur Rudra of JP Morgan enquired about margin headwinds in June\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":124162,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-tcs-q1-fy22-earnings-concall\/","url_meta":{"origin":134577,"position":1},"title":"Tata Consultancy Services Ltd (TCS) Q1 FY22 Earnings Concall","author":"Sahil_Anand","date":"July 8, 2021","format":false,"excerpt":"Tata Consultancy Services Ltd (NSE:TCS) Q1 FY22 Earnings Concall dated Jul. 08, 2021","rel":"","context":"In &quot;Technology&quot;","block_context":{"text":"Technology","link":"https:\/\/alphastreet.com\/india\/category\/technology-stocks\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/07\/Tata-Consultancy-Services-Ltd-Q1-FY22-Earnings-Concall.png?resize=1400%2C800&ssl=1 4x"},"classes":[]},{"id":143656,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q4-fy23-earnings-conference-call-insights\/","url_meta":{"origin":134577,"position":2},"title":"Tata Consultancy Services Ltd Q4 FY23 Earnings Conference Call Insights","author":"Praveen","date":"April 13, 2023","format":false,"excerpt":"https:\/\/youtu.be\/UIhh6l0AmVw Key highlights from Tata Consultancy Services Ltd (TCS) Q4 FY23 Earnings Concall Management Update: [00:06:43] TCS said it on-boarded over 44,000 freshers, and highest number of experienced professional during FY23. [00:14:39] TCS said its clients, especially in North America and Europe took a cautious approach to their projects, resulting\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":154817,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q2-fy24-earnings-conference-call-insights\/","url_meta":{"origin":134577,"position":3},"title":"Tata Consultancy Services Ltd Q2 FY24 Earnings Conference Call Insights","author":"Praveen","date":"October 11, 2023","format":false,"excerpt":"Key highlights from Tata Consultancy Services Ltd (TCS) Q2 FY24 Earnings Concall Financial Performance TCS reported a 7.9% YoY growth in revenue in rupee terms, 2.8% growth in constant currency terms, and 4.8% growth in dollar terms. Operating margin was 24.3%, up 110 bps sequentially due to higher utilization and\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2023\/10\/CC_Image_1.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2023\/10\/CC_Image_1.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2023\/10\/CC_Image_1.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2023\/10\/CC_Image_1.jpg?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":128440,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q4-fy22-earnings-conference-call-insights\/","url_meta":{"origin":134577,"position":4},"title":"Tata Consultancy Services Ltd Q4 FY22 Earnings Conference Call Insights","author":"Praveen","date":"April 12, 2022","format":false,"excerpt":"https:\/\/youtu.be\/WIgBR_tj5nk Key highlights from Tata Consultancy Services Ltd (TCS) Q4 FY22 Earnings Concall Management Update: TCS said it added $3.533 billion in incremental revenue during the year, the company\u2019s highest ever. \u00a0 The company reported an all-time high employee net additions for 4Q22 of 35,209 and 103,546 for FY22, bringing\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/04\/Tata-Consultancy-Services-Q422.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/04\/Tata-Consultancy-Services-Q422.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/04\/Tata-Consultancy-Services-Q422.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/04\/Tata-Consultancy-Services-Q422.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/04\/Tata-Consultancy-Services-Q422.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":126262,"url":"https:\/\/alphastreet.com\/india\/tata-consultancy-services-ltd-q3-fy22-earnings-conference-call-summary\/","url_meta":{"origin":134577,"position":5},"title":"Tata Consultancy Services Ltd Q3 FY22 Earnings Conference Call Summary","author":"Praveen","date":"January 13, 2022","format":false,"excerpt":"Key highlights from Tata Consultancy Services (TCS) Q3 FY22 Earnings Concall Management Update: TCS expects to increase its investments in its digital core offerings, technology and operations, with cloud continuing to be the big growth driver. The company mentioned that on a LTM basis, the company's attrition in IT services\u2026","rel":"","context":"In &quot;Concall Highlights&quot;","block_context":{"text":"Concall Highlights","link":"https:\/\/alphastreet.com\/india\/category\/earnings-call-highlights\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/01\/Tata-Consultancy-Services-Q322.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/01\/Tata-Consultancy-Services-Q322.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/01\/Tata-Consultancy-Services-Q322.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/01\/Tata-Consultancy-Services-Q322.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2022\/01\/Tata-Consultancy-Services-Q322.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/134577","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/users\/1767"}],"replies":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/comments?post=134577"}],"version-history":[{"count":0,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/134577\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media\/134569"}],"wp:attachment":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media?parent=134577"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/categories?post=134577"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/tags?post=134577"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}