Title and Content

109
207
246
Dark 1

185
175
164
Accent 3

255
255
255
Light 1

151
75
7
Accent 4

131
56
155
Dark 2

193
187
0
Accent 5

0
99
190
Light 2

255
221
62
Accent 6

85
165
28
Accent 1

255
255
255
Hyperlink

214
73
42
Accent 2

236
137
29
Followed Hyperlink

Results for Quarter II FY 2011 - 12

127
175
221

Tata Blue 50%

203
215
238

Tata Blue 25%

179
149
197

212
195
223

255
242
171

255
249
213

Purple 50 %

Purple 25 %

Yellow 50 %

Yellow 25 %

241
240
202

251
251
241

229
205
186

248
241
235

180
213
154

214
231
200

Brown 50 %

Brown 25 %

Green 50 %

Green 25 %

17th October 2011

Light Green 50% Light Green 25%

17th October 2011

Disclaimer
Certain statements in this release concerning our future prospects are forward-looking
statements. Forward-looking statements by their nature involve a number of risks and
uncertainties that could cause actual results to differ materially from market expectations.
These risks and uncertainties include, but are not limited to our ability to manage growth,
intense competition among Indian and overseas IT services companies, various factors
which may affect our cost advantage, such as wage increases or an appreciating Rupee,
our ability to attract and retain highly skilled professionals, time and cost overruns on
fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration,
our ability to manage our international operations, reduced demand for technology in our
key focus areas, disruptions in telecommunication networks, our ability to successfully
complete and integrate potential acquisitions, liability for damages on our service
contracts, the success of the companies in which TCS has made strategic investments,
withdrawal of governmental fiscal incentives, political instability, legal restrictions on
raising capital or acquiring companies outside India, unauthorized use of our intellectual
property and general economic conditions affecting our industry. TCS may, from time to
time, make additional written and oral forward-looking statements, including our reports
to shareholders. These forward-looking statements represent only the Companys current
intentions, beliefs or expectations, and any forward-looking statement speaks only as of
the date on which it was made. The Company assumes no obligation to revise or update
any forward-looking statements.

17th October 2011

Highlights

Q2 FY12 Performance Highlights

Revenue:
- INR Revenue of Rs 116,335 Mn i.e growth of 7.7% QoQ and 25.3% YoY
- USD Revenue of $2,525 Mn i.e. growth of 4.7% QoQ and 26.0% YoY
- Volume growth of 6.2% QoQ
Profit:
- EBIT margin of 27.1%, up 94bps QoQ
- Net Income at INR 24,390 Mn i.e. a NPM of 21.0%
Demand:
- 35 new clients added during the quarter; Active clients: 1010
- Good upward movement across revenue bands : $100M+, $50M+, $20M+
- Strong deal pipeline across all major verticals

People:
- Gross addition of 20,349 associates, closing headcount: 214,770
- Utilization at 83.1% (ex-trainees) and 76.4% (including trainees)
- LTM Attrition (IT Services) at 12.5%
17th October 2011

Indian GAAP Growth Summary

Revenue
10,797

11,000

Crore

12,000
10,000

Q-o-Q Revenue Growth

11,633

9,286

9,663

10,157

40%
30%
20%

9,000
7,000

13.0%

Q2 FY11

Crore

3,093
2,776

2,900

Q3 FY11

Q4 FY11

Q-o-Q PBIDT Growth

3,384

3,500

5.1%

4.1%

PBIDT (before Other Income)

2,500

25.3%

6.3%

7.7%

Q1 FY12

Q2 FY12

0%
Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

3,000

31.4%

31.3%

26.3%

24.9%

10%

8,000

Y-o-Y Revenue Growth

3,033

40%

31.1%

30%
20%

Y-o-Y PBIDT Growth

32.2%

27.6%

25.9%

11.6%

15.2%

10%

6.7%

4.4%

-1.9%

0%
2,000

-10%

Q2 FY11

21.9%

Q3 FY11

Q4 FY11

Q1 FY12

Q2 FY12

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

Profit After Tax

Q-o-Q PAT Growth

3,000

45%

2,500

2,370

2,169

2,415

32.1%

31.1%

29.9%

30%
2,301

Crore

2,623

Y-o-Y PAT Growth

15%

13.8%

10.7%

9.2%

-15%

6.1%
-7.9%

0%

2,000

26.7%

Q2 FY11

Q3 FY11

Q4 FY11

Q1 FY12

-4.7%
Q2 FY12

-30%

1,500

Profit After Tax Before Effect of Tax on Dividends

from foreign subsidiaries
3,000
2,623
2,515
2,415
2,370
2,500
2,169

Crore

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

Q-o-Q PAT Growth

45%

32.1%

29.9%

Y-o-Y PAT Growth

31.1%

30%
15%

13.8%

9.2%

10.7%

Q3 FY11

Q4 FY11

-15%
1,500

15.9%
-7.9%

0%

2,000

26.7%

Q2 FY11

Q1 FY12

4.1%
Q2 FY12

-30%
Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

Profit After Tax Before Effect of Tax on Dividends from foreign subsidiaries

17th October 2011

IFRS Revenue Growth

Million

Revenue Mix
130,000
110,000
90,000
70,000
50,000
30,000
10,000

92,864

96,633

101,575

107,970

9,216

8,896

8,987

10,084

83,648

87,738

92,588

97,887

Q2 FY11

Q3 FY11

Q4 FY11

30%

106,689

31.4%

31.3%
24.9%

26.3%

25.3%

13.0%

10%

4.1%

Q1 FY12

Q2 FY12

Q2 FY11

India Revenue

5.1%

31.4%
22.4%

25.3%

11.6%
4.9%

5.5%

30.7%

5.7%

6.3%

7.7%

Q3 FY11

Q1 FY12

Q2 FY12

Q-0-Q Growth

Q1 FY12
Y-0-Y Growth

Y-0-Y Growth

60%

27.5%
9.0%

53.5%
37.2%

40%
20%

Q2 FY12

-20%

30.5%

27.1%

Q2 FY11

39.0%
12.2%

-3.5%

0%

Q4 FY11

Q4 FY11

India Revenue

0%
Q2 FY11

Q3 FY11
Q-0-Q Growth

International Revenue

40%

10%

9,646

Revenue Growth

0%

50%

20%

40%

20%

International Revenue

30%

116,335

Q3 FY11
Q-0-Q Growth

1.0%
Q4 FY11

Q1 FY12

4.7%
-4.3%
Q2 FY12

Y-0-Y Growth

17th October 2011

IFRS Growth Summary INR

Million

Operating Income
32,000
29,000
26,000
23,000
20,000

26,115

27,318

28,757

Y-o-Y Growth

31,543
40%

28,261

20%

Million

EBITDA

15.7%

34,000

4.6%

5.3%

27,775

29,175

30,880

-20%

Q2 FY11

Q3 FY11

Y-o-Y Growth

30,309

40%
20%

25.2%
-1.7%

Q4 FY11

Q1 FY12

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

30.1%
15.0%

-20%

Q2 FY11

Net Income
21,263

23,461

23,808

20.8%
11.6%
Q2 FY12

Q-o-Q Growth

28.4%

33.6%

5.0%

5.8%

Q3 FY11

Q4 FY11

25.5%
-1.8%

0%

22,000

Y-o-Y Growth

23,803

24,390

40%
20%

20,000

Million

35.1%

33,829

26,000

25,000

30.8%

0%
Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

30,000

33.7%

Q-o-Q Growth

30.9%

30.5%

14.1%

10.3%

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

-20%

Q2 FY11

Q3 FY11

11.6%
Q2 FY12

Q-o-Q Growth

22.2%

27.8%

1.5%

0.0%

Q4 FY11

Q1 FY12

0%

15,000

Q1 FY12

21.8%

14.7%

2.5%
Q2 FY12

17th October 2011

IFRS Growth Summary USD

Million

Revenue
2,300.0
1,800.0
1,300.0
800.0

2,004

2,144

2,244

Y-o-Y Growth

2,412

2,525
40%
20%

-20%

Million

Operating Income

7.0%

564

606

635

631

Q2 FY11

Q3 FY11

Y-o-Y Growth

684

40%
40%
20%

34.4%

4.7%

7.4%

Q4 FY11

Q1 FY12

26.0%
4.7%

36%

14%
8%

-20%

526

Q3 FY11

Y-o-Y Growth

Net Income
520

Q2 FY11

532

528

459

40%

20%

37%

37%

28%

5%

Q1 FY12

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

-20%

Q3 FY11

Q2 FY12

1%

31%
15%
1%

0%

Q2 FY11

8%

Q-o-Q Growth

36%
13%

21%

-1%

Q4 FY11

24%
13%

Q2 FY12

Q-o-Q Growth

0%

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

600.0
550.0
500.0
450.0
400.0
350.0

11.7%

33.2%

0%

Q2 FY11 Q3 FY11 Q4 FY11 Q1 FY12 Q2 FY12

800.0
700.0
600.0
500.0
400.0

31.1%

30.3%

Q-o-Q Growth

Q4 FY11

Q1 FY12

-1%
Q2 FY12

17th October 2011

Operational Performance

Growth by Market
7.5%

2.2%

North America

8.3%
Latin America

10.1%

UK

53.4%

Continental Europe
India

15.5%

Asia Pacific

3.0%
Geography (% )

MEA

Q2 FY12

Q1 FY12

Q-o-Q
Growth

Q2 FY11

Y-o-Y
Growth

Americas
North America
Latin America

53.4
3.0

52.9
3.1

8.8
2.8

53.7
3.9

24.5
(4.5)

Europe
UK
Continental Europe

15.5
10.1

15.3
9.9

10.3
9.3

15.3
9.1

27.9
38.5

8.3
7.5
2.2

9.3
7.3
2.2

9.9
6.2
1.9

4.7
51.4
47.5

100.0

100.0

100.0

25.3

India
Asia Pacific
MEA
Total

(4.3)
9.8
9.3
7.7

Growth in INR terms

17th October 2011

10

Growth by Domain
4.3%

BFSI

2.1% 4.5%

Telecom

43.5%

3.8%
5.3%

Retail & Distribution

Manufacturing

5.9%

Hi-Tech
Life Sciences & Healthcare

7.8%

Travel & Hospitality

Energy & Utilities

12.1%

Media & Entertainment

Others

10.7%

IP Revenue (%)

BFSI
Telecom
Retail & Distribution
Manufacturing
Hi-Tech
Life Sciences & Healthcare
Travel & Hospitality
Energy & Utilities
Media & Entertainment
Others
Total

Q2 FY12

Q1 FY12

Q-o-Q
Q2 FY11
Growth

Y-o-Y
Growth

43.5
10.7
12.1
7.8
5.9
5.3
3.8
4.3
2.1
4.5

43.3
11.7
11.6
7.6
5.8
5.2
3.7
3.8
2.2
5.1

8.6
(1.7)
12.2
10.3
9.5
9.1
10.3
20.0
1.9
(3.6)

44.0
12.8
10.9
7.4
4.6
5.1
3.2
4.3
2.0
5.7

24.4
4.3
39.3
32.1
61.3
29.8
49.1
24.4
33.9
(4.1)

100.0

100.0

7.7

100.0

25.3

Growth in INR terms

17th October 2011

11

Growth by Service Line

Application Development & Maint.

10.9%

Business Intelligence

44.7%

4.0%
2.6%

Enterprise Solutions

9.6%

Assurance Services

4.8%

Engineering & Industrial Services

Infrastructure Services

7.6%

Global Consulting

11.1%

4.7%

Asset Leverage Solutions

Business Process Outsourcing

SP Revenue (%)
IT Solutions and Services
Application Development & Maint.
Business Intelligence
Enterprise Solutions
Assurance Services
Engineering & Industrial Services
Infrastructure Services
Global Consulting
Asset Leverage Solutions
Business Process Outsourcing
Total

Q2 FY12

Q1 FY12

Q-o-Q
Growth

Q2 FY11

Y-o-Y
Growth

44.7
4.7
11.1
7.6
4.8
9.6
2.6
4.0
10.9

46.2
4.9
10.8
7.3
4.6
9.5
2.2
3.6
10.9

4.4
3.6
9.9
12.2
13.8
9.2
26.9
20.1
7.1

46.8
5.6
10.3
6.6
4.9
9.4
2.1
3.4
10.9

19.3
5.6
34.6
42.9
24.3
28.8
53.7
51.2
25.4

100.0

100.0

7.7

100.0

25.3

Growth in INR terms

17th October 2011

12

Client Parameters

Q2 FY12

Q1 FY12

Clients Contribution *
Revenue %
Top 1
Top 5
Top 10

6.9
20.0
28.3

7.1
20.7
28.9

US$ 1 mln Clients

US$ 5 mln Clients
US$ 10 mln Clients
US$ 20 mln Clients
US$ 50 mln Clients
US$ 100 mln Clients

495
230
155
94
36
12

473
219
148
91
33
10

Last Twelve Months

17th October 2011

13

Operational Parameters

Revenue %

Q2 FY12

Q1 FY12

Delivery Location*
Onsite
GDC/RDC
Offshore

45.2
3.9
50.9

44.8
4.6
50.6

53.2
46.8

50.3
49.7

Contract Type
Time & Material
Fixed Price & Time
* Excluding Domestic Clients

17th October 2011

14

Client Acquisition and Expansion

Particulars

Q2 FY12

Q1 FY12

1,010

959

35

24

Revenue % from Repeat Business

99.3

99.8

Revenue % from New Business *

0.7

0.2

Active Clients
New Clients

* Reset at the beginning of Financial Year

17th October 2011

15

Key Wins

A leading Global Bank has selected TCS BNCS platform to implement asset servicing for
wholesale banking and securities processing for direct custody. The solution will deliver
transformational benefits by rationalizing organization structures, business processes and systems
across business lines.

A large broadband and telecommunications player in Europe and Latin America selected TCS for
service management & integration in a deal valuing over USD 100 M.

TCS won the implementation of the BNCS Insurance product across the International markets
covering five North Asian countries including China for the Life and Annuities business for a
leading UK based life assurance company.

TCS won a platform standardization deal to consolidate a diverse footprint for a large US based
large insurance company.

A US Fortune 500 medical devices company has awarded TCS a large contract for its end-to-end
remote infrastructure services.

A large cable operator and home internet service provider in the US has selected TCS as its
strategic partner for its OSS/BSS transformation.

A leading European financial services provider has selected TCS BNCS portfolio for core banking,
fraud monitoring, domestic and international payments.

TCS was selected by a global brewing and bottling company to be its technology partner to provide
infrastructure management services.

A leading generator and marketer of electricity in North America has selected TCS as a strategic
partner for application and infrastructure management.
17th October 2011

16

Human Resources

Total Employee Base

Employee Base : 214,770
214,770
198,614
174,417

Q2-11

202,190

186,914

Q3-11

Q4-11

Q1-12

Q2-12

TCS Consolidated
17th October 2011

18

Q2 Consolidated - Gross Additions 20,349 & Net Additions 12,580

Gross Additions:
10,192 Trainees & 8,125 Laterals in India
2,032 employees overseas

Attrition*:
13.7% (LTM), including
BPO

IT Services: 12.51% (LTM)

BPO: 24.25% (LTM)
Utilization Rate*:
83.1% (excluding Trainees)
76.4% (including Trainees)
*

Excluding Subsidiaries: CMC, eServe & Diligenta

17th October 2011

19

Diversity
30.4% of our workforce are women
63% of our associates have more than 3 years of work experience
Associates from 103 nationalities
Composition of International Workforce (Consolidated)

TCS Consolidated (Including Subsidiaries CMC, e-Serve &

Diligenta)
17th October 2011

20

Annexure

Indian GAAP Income Statement - Consolidated

` Crore
Consolidated Indian GAAP
INCOME
a) IT & Consultancy Services
b) Manufacturing, Sale of equipment and Licences
Total Income

Q2 FY12

Q1 FY12

% of Total Income
Q2 FY11

Q2 FY12

Q1 FY12

Q2 FY11

11,290
343
11,633

10,444
353
10,797

8,900
386
9,286

97.05
2.95
100.00

96.73
3.27
100.00

95.84
4.16
100.00

EXPENDITURE
a ) Salaries & Wages
b ) Overseas business expenditure
c) Other operating expenses
Total Expenditure

4,484
1,673
2,092
8,249

4,206
1,547
2,011
7,764

3,411
1,390
1,709
6,510

38.55
14.38
17.99
70.92

38.95
14.33
18.63
71.91

36.74
14.97
18.40
70.11

Profit Before Interest, Depreciation, Taxes

& Other Income

3,384

3,033

2,776

29.08

28.09

29.89

9
232
3,143
122
3,265
724

5
208
2,820
294
3,114
673

15
172
2,588
71
2,659
460

0.08
1.99
27.01
1.05
28.06
6.22

0.04
1.93
26.12
2.72
28.84
6.24

0.16
1.86
27.87
0.76
28.63
4.96

2,541

2,441

2,199

21.84

22.60

23.67

214
2,327
(26)
2,301

2,441
(26)
2,415

2,199
(30)
2,169

1.84
20.00
(0.23)
19.77

22.60
(0.24)
22.36

23.67
(0.32)
23.35

Interest
Depreciation
Profit Before Taxes & Other Income
Other income (expense), net
Profit Before Taxes
Provision For Taxes
Profit Before Taxes on Dividend from foreign
subsidiaries & Minority Interest
Provision for Taxes on Dividend from foreign
subsidiaries
Profit After Tax & Before Minority Interest
Minority Interest
Net Profit

17th October 2011

22

Indian GAAP Balance Sheet - Consolidated

Consolidated Indian GAAP

Source of Funds
Shareholders' Funds
Minority Interest
Loan Funds
Deferred Tax Liability
Non Current Liabilities
Total Liabilities
Application of Funds
Fixed Assets (net)
Goodwill
Deferred Tax Asset
Investments
Cash and Bank Balance
Current Assets, Loans and Advances
Current Liabilities and Provisions

Net Current Assets

Non Current Assets
Total Assets

` Crore
30-Sep-11

31-Mar-11

%
30-Sep-11 31-Mar-11

27,639
495
719
153
447
29,453

24,505
458
69
109
327
25,468

93.84
1.68
2.44
0.52
1.52
100.00

96.22
1.80
0.27
0.43
1.28
100.00

5,893
3,506
227
1,730

5,441
3,232
160
1,763

20.01
11.90
0.77
5.87

21.36
12.69
0.63
6.92

6,649
14,853
7,390

4,700
11,705
7,213

22.58
50.43
25.09

18.45
45.96
28.32

14,112
3,985
29,453

9,192
5,680
25,468

47.91
13.53
100.00

36.09
22.31
100.00

17th October 2011

23

IFRS Income Statement

Consolidated IFRS
Revenue
Cost of revenue

`
Q2 FY12

Million

Q1 FY12

% of Revenue
Q2 FY11

Q2 FY12

Q1 FY12

Q2 FY11

116,335
63,716

107,970
60,175

92,864
51,107

100.00
54.77

100.00
55.73

100.00
55.03

Gross margin
SG & A expenses

52,619
21,076

47,795
19,534

41,757
15,642

45.23
18.12

44.27
18.10

44.97
16.84

Operating income
Other income (expense), net

31,543
997

28,261
2,886

26,115
443

27.11
0.86

26.17
2.67

28.13
0.48

Income before income taxes

Income taxes

32,540
7,913

31,147
7,063

26,558
5,001

27.97
6.80

28.84
6.54

28.61
5.39

Income after income taxes

24,627

24,084

21,557

21.17

22.30

23.22

237

281

294

0.21

0.26

0.31

Net income

24,390

23,803

21,263

20.96

22.04

22.91

Earnings per share in INR

INR
12.46

INR
12.16

INR
10.86

Minority interest

17th October 2011

24

COR SG&A Details

17th October 2011

IFRS Balance Sheet

Consolidated IFRS
Assets
Cash and cash equivalents
Accounts receivable
Unbilled revenues
Other current financial assets
Other non current financial assets
Property and equipment
Intangible assets and Goodwill
Investments
Other current assets
Other non current assets
Total assets
Liabilities and Shareholders' Equity
Current liabilities
Short term borrowings
Redeemable preference shares
Long term borrowings
Other non-current liabilities
Minority interest
Shareholders' Funds
Total Liabilities

30-Sep-11

` Million

31-Mar-11
%

` Million

16,480
102,026
19,666
61,931
13,140
56,746
34,227
18,327
14,860
28,492
365,895

4.50
27.88
5.37
16.93
3.59
15.51
9.36
5.01
4.06
7.79
100.00

15,539
82,016
13,489
39,297
33,097
51,996
33,791
18,390
14,523
25,745
327,883

4.74
25.01
4.11
11.99
10.09
15.86
10.31
5.61
4.43
7.85
100.00

67,787
6,810
1,000
36
11,339
4,581
274,342
365,895

18.53
1.86
0.27
0.01
3.10
1.25
74.98
100.00

58,335
328
1,000
38
10,991
3,147
254,044
327,883

17.79
0.10
0.31
0.01
3.35
0.96
77.48
100.00

17th October 2011

26

IFRS Income Statement In USD

Consolidated IFRS

$ Million
Q2 FY12

Q1 FY12

Q2 FY11

% of Revenue
Q2 FY12
Q1 FY12
Q2 FY11

Revenue
Cost of revenue

2,525
1,383

2,412
1,344

2,004
1,103

100.00
54.77

100.00
55.73

100.00
55.03

Gross margin
SG & A expenses

1,142
458

1,068
437

901
337

45.23
18.12

44.27
18.10

44.97
16.84

Operating income
Other income (expense), net

684
22

631
65

564
9

27.11
0.86

26.17
2.67

28.13
0.47

Income before income taxes

Income taxes

706
172

696
158

573
108

27.97
6.83

28.84
6.54

28.60
5.41

Income after income taxes

534

538

465

21.14

22.30

23.19

0.24

0.26

0.31

528

532

459

20.90

22.04

22.88

USD
0.27

USD
0.27

USD
0.23

Minority Interest
Net Income
Earnings Per Share in USD

17th October 2011

27

COR SG&A Details In USD

17th October 2011

28

IFRS Balance Sheet in USD

Consolidated IFRS
Assets
Cash and Cash equivalents
Accounts Receivable
Unbilled Revenues
Other current financial assets
Other non current financial assets
Property and equipment
Intangible assets and Goodwill
Investments
Other current assets
Other non current assets
Total assets
Liabilities and Shareholders' Equity
Current liabilities
Short term borrowings
Redeemable Preference Shares
Long term borrowings
Other non-current liabilities
Minority Interest
Shareholders' Funds
Total Liabilities

30-Sep-11
$ Million
%

31-Mar-11
$ Million
%

337
2,084
402
1,265
269
1,159
699
374
304
582
7,475

4.50
27.89
5.37
16.93
3.59
15.51
9.35
5.01
4.06
7.79
100.00

349
1,839
303
881
742
1,166
758
412
326
577
7,353

4.74
25.01
4.11
11.98
10.09
15.86
10.31
5.61
4.43
7.85
100.00

1,385
139
20
1
232
93
5,605
7,475

18.53
1.86
0.27
0.01
3.10
1.25
74.98
100.00

1,309
7
22
1
246
71
5,697
7,353

17.79
0.10
0.31
0.01
3.35
0.96
77.48
100.00

17th October 2011

29

Currency mix and average realized rates in INR

Average rates

% of Revenue

Currency
Q2 FY12

Q1 FY12

Q2 FY12

Q1 FY12

USD

46.07

44.77

59.31%

58.83%

GBP

74.22

73.01

12.31%

12.15%

EUR

65.31

64.60

7.45%

7.87%

20.93%

21.15%

100.00%

100.00%

Others

17th October 2011

30

Thank You