Tata Consultancy Services (TCS), the country’s largest software company, posted a 24% increase in net profit to Rs 1,906 crore in the April-June quarter, compared to Rs 1,533 crore in the corresponding quarter last year, aided by increased outsourcing deals with foreign clients. Furthermore, the revenue rose by a sharp 14% to Rs 8,217 crore, from Rs 7,206 crore.

CEO & MD, S. Ramadorai said: “In a volatile and uncompromising environment, TCS has demonstrated its industry leadership by seizing opportunities for growth through operational excellence resulting in a stellar performance for the quarter.” He added: “While we remain vigilant about the environment, TCS is leveraging its global presence and the investments made in developed and emerging markets to deliver our proposition of certainty, which resonates clearly with customers in these challenging times and helps us create long-term value for shareholders.”

Growth was broad-based across markets and North America continued to maintain its share of revenues aided by semblance of stability in the banking, financial services and insurance verticals. In Europe, demand uptake from recently acquired clients is helping sustain growth momentum and the pipeline remains strong, while demand from emerging markets is being driven by system integration and outsourcing engagements.

In terms of verticals, this quarter saw some stability in the core BFSI segment with the US leading the trend, while UK and Europe are expected to stabilize in subsequent quarters. In manufacturing, the speed of demand recovery will depend on overall economic recovery.

Among service lines, application and outsourcing services continued to maintain revenue share despite slowdown in new deals. TCS’ remote infrastructure management solutions continue to attract good traction across markets. The company continues to leverage industry leading portfolio of BPO solutions to deliver growth.