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This filing is part of the company’s quarterly result. Read the full results article, with every figure explained →

TCSNSETata Consultancy Services Limited· IT - SoftwareCriticalPositive
Announced Mon, 12 Jan, 2026 · 15:50 IST

Tata Consultancy Services Limited has submitted to the Exchange, the financial results for the period ended December 31, 2025.

Exceptional itemEBITDA margin compressionResults View source PDFExplain this filing

TCS · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close
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₹3243.00
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Nifty 100market · index membership as recorded later (tracked since Jun 2026)-0.2%+0.8% vs market
Computers - Software & Consulting peers, median of 67sector+0.8%-0.1% vs sector

On the reaction day the stock moved 0.8 pts more than Nifty 100 and 0.1 pts less than its Computers - Software & Consulting peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

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AI summary

TCS reported consolidated revenue of ₹67,087 crore for Q3 FY26, up about 4.9% year-on-year from ₹63,973 crore. Nine-month revenue rose to ₹1,96,323 crore versus ₹1,90,845 crore last year. However, net profit for the quarter fell roughly 13.8% YoY to ₹10,720 crore, dragged by three large exceptional items: ₹2,128 crore for the new Labour Codes, ₹1,010 crore as a provision for the CSC legal claim in the US, and ₹253 crore in restructuring expenses. The board declared a third interim dividend of ₹11 per share along with a special dividend of ₹46 per share (total ₹57), with a record date of January 17, 2026 and payment on February 3, 2026. TCS also completed the ListEngage acquisition ($69M) and signed a deal to buy Coastal Cloud for $700M.

Likely market impact

Strong revenue growth was overshadowed by heavy one-time charges, pushing Q3 profit down meaningfully and squeezing operating margins. The generous dividend payout (₹57/share) signals strong cash returns to shareholders, but the CSC lawsuit provision and labour-code impact are near-term overhangs on profitability.

By the numbersConsolidated · Q3 FY26 vs Q3 FY25
Q3 FY26Q3 FY25Change
Revenue₹67,087 Cr₹63,973 Cr+4.9%
Operating profit₹16,351 Cr₹15,423 Cr+6.0%
Profit after tax₹10,720 Cr₹12,444 Cr−13.9%
EBITDA margin22.2%26.6%−4.4 pp

From the company's XBRL filing, not from the text above. Operating profit = profit before tax − exceptional items − other income. EBITDA = profit before tax + finance costs + depreciation − other income.