Tata Consultancy Services Limited (TCS) – Q2 FY26 Results Summary
Announcement Date: October 9, 2025
Key Financial Metrics (Consolidated):
- Revenue: ₹65,799 crore (Q2 FY26)
- +2.4% QoQ (Q1 FY26: ₹63,437 crore)
- -2.2% YoY (Q2 FY25: ₹64,259 crore)
- Profit After Tax (PAT): ₹12,131 crore
- +5.3% QoQ (Q1 FY26: ₹12,819 crore)
- +1.5% YoY (Q2 FY25: ₹11,955 crore)
- EBITDA (Profit before exceptional item & tax): ₹17,203 crore
- Exceptional Item (Restructuring expenses): ₹1,135 crore
- Total Comprehensive Income: ₹12,551 crore
- EPS (consolidated): Not fully disclosed
Standalone Financials:
- Revenue: ₹54,531 crore
- +3.3% QoQ (Q1 FY26: ₹52,788 crore)
- +1.0% YoY (Q2 FY25: ₹53,990 crore)
- PAT: ₹11,828 crore
- -5.8% QoQ (Q1 FY26: ₹12,552 crore)
- -8.9% YoY (Q2 FY25: ₹12,994 crore)
- EPS: ₹32.70 (Q2 FY26) vs ₹35.91 (Q2 FY25)
- Exceptional Item (Restructuring expenses): ₹850 crore
Balance Sheet Highlights:
- Consolidated total assets: ₹1,75,219 crore (Sep 30, 2025) vs ₹1,59,629 crore (Mar 31, 2025)
- Consolidated equity: ₹1,07,461 crore vs ₹95,771 crore
- Consolidated cash & equivalents: ₹6,358 crore vs ₹8,342 crore
- Standalone total assets: ₹1,44,621 crore vs ₹1,32,788 crore
- Standalone equity: ₹85,029 crore vs ₹75,617 crore
- Standalone cash & equivalents: ₹1,602 crore vs ₹2,610 crore
Management Commentary:
- Restructuring initiated in July 2025 involving release of certain associates due to deployment infeasibility; termination benefits provided.
- Restructuring expenses classified as exceptional items impacting profits.
- No changes in accounting policies or material adjustments.
- Interim dividend declared at ₹11 per equity share (face value ₹1), totaling ₹22 per share for H1 FY26.
- No sector-specific KPIs or financial services-related issues disclosed.
Segment Performance (Consolidated):
- BFSI segment remains largest with revenue ₹25,717 crore (+8.1% YoY) and segment profit ₹6,818 crore.
- Manufacturing and Consumer Business segments showed modest growth.
- Communication, Media & Technology segment revenue declined YoY to ₹9,802 crore.
- Restructuring expenses included in unallocable expenses (₹2,777 crore Q2 FY26).
- Overall segment profits increased QoQ and YoY.
Capex and Corporate Activity:
- Consolidated capex increased to ₹1,868 crore (H1 FY26) from ₹1,491 crore (H1 FY25).
- Capital work-in-progress rose to ₹2,221 crore (Sep 30, 2025) from ₹1,546 crore (Mar 31, 2025).
- Acquisitions: Two real estate subsidiaries acquired effective January 29, 2025; acquisition payments ₹554 crore (H1 FY26).
- No impairments or significant disposals reported.
Auditor’s Note:
- Statutory auditors B S R & Co. LLP issued unmodified (clean) audit opinions on both standalone and consolidated results with no qualifications or concerns.
This summary captures the key financial and operational highlights from TCS’s Q2 FY26 results announcement dated October 9, 2025.