TCS sees weak Q3, says pricing environment stable
"Q3 is a soft quarter because of furloughs and number of holidays and we will plan for those things in this quarter," TCS CEO and MD N Chandrashekharan said.
By ET Bureau | Updated:
BENGALURU: Tata Consultancy Services said that it expects "a tapering" of sequential revenue growth in the second half of the year on account of fewer working days in the December quarter.
"Q3 is a soft quarter because of furloughs and number of holidays and we will plan for those things in this quarter," TCS CEO and MD N Chandrashekharan said.
The company reported 3% sequential revenue growth in the second-quarter, missing analysts' expectations and trailing rivals like Infosys. Revenue grew to $4.2 billion and profits rose 3.2% sequentially to $926 million.
"In the industry we don't see any dramatic shifts in overall pricing. It's a stable pricing environment," Chandraskekharan said when asked if the pressure on pricing has increased due to competition.
Industry lobby Nasscom has warned of slower sector growth, pegging revenues to grow 12-14% in FY16, down from 13-15% in FY15.
"Q3 is a soft quarter because of furloughs and number of holidays and we will plan for those things in this quarter," TCS CEO and MD N Chandrashekharan said.
The company reported 3% sequential revenue growth in the second-quarter, missing analysts' expectations and trailing rivals like Infosys. Revenue grew to $4.2 billion and profits rose 3.2% sequentially to $926 million.
"In the industry we don't see any dramatic shifts in overall pricing. It's a stable pricing environment," Chandraskekharan said when asked if the pressure on pricing has increased due to competition.
Industry lobby Nasscom has warned of slower sector growth, pegging revenues to grow 12-14% in FY16, down from 13-15% in FY15.
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