TCS Q1 Results Today: Date, Time, Dividend News, Other Key Updates To Watch Out For

Last Updated:July 10, 2025, 16:13 IST

TCS Q1 Results FY26: TCS is set to declare its audited financial results for the quarter ended June 30, and interim dividend on Thursday, July 10

TCS Q1 Results FY26: IT bellwether Tata Consultancy Services Ltd (TCS) is set to declare its audited standalone and consolidated financial results for the quarter ended June 30, and interim dividend for FY26 today.

“Tata Consultancy Services Limited will announce its results for the first quarter of FY 2026, ended June 30, 2025, on Thursday, July 10, 2025, after-market trading hours,” it said in a regulatory filing. After the release of the Q1 numbers, the leadership team will address a press conference at 5:30 pm on the same date.

IT analysts tracking Tata Consultancy Services (TCS) expect a muted performance in the June 2025 quarter (Q1FY26), largely due to a ramp-down in the BSNL project, modest growth in developed markets, and weakness in key verticals like retail and manufacturing. The Street will closely watch for management commentary around client budgets, margin levers, and the overall demand outlook.

TCS Q1 Earnings FY26: What To Expect?

For the quarter, most brokerages are projecting low single-digit growth, or even a slight decline in revenue and profit. Antique Stock Broking expects a 0.6% decline in revenue in constant currency (CC) terms, although it estimates a 1% QoQ growth in dollar terms, supported by a 160 basis point cross-currency tailwind. The brokerage also expects EBIT margins to remain flat at 24.2% and forecasts deal wins between $9–10 billion.

Nuvama is slightly more conservative, projecting revenue of Rs 64,600 crore (up 3.2% YoY) and net profit of Rs 12,214 crore (up 1.5%). Kotak Institutional Equities expects a 0.4% sequential decline in CC revenue, with developed market growth at a modest 0.3%, entirely offset by a drop in BSNL-related revenue.

Despite currency tailwinds, margin improvement may be limited. Analysts at Nirmal Bang expect EBIT margins to contract by 40 basis points QoQ to 23.8%, citing factors like lower employee utilization, higher visa expenses, and ongoing talent investments. Centrum Broking forecasts an even steeper CC revenue decline of 2.8% QoQ and sees profit falling 1.5% YoY to Rs 11,862 crore. It expects EBIT margin to slip 19 bps due to weak topline performance.

Kotak also pointed out additional factors to monitor, including tariff-related demand disruption in verticals like retail and manufacturing, weak growth trends in developed markets, and any client insourcing trends. Other key areas of investor focus include the role of Global Capability Centres (GCCs), the pace of enterprise GenAI adoption and its deflationary effects, and the company’s strategy to protect or grow margins.

TCS’ deal pipeline continues to show strength, with analysts projecting total contract value (TCV) of $8–10 billion in Q1. Key wins include AI and digital transformation deals with Schneider Electric, Marathon de Paris, ICICI Securities, Oman’s Dhofar Insurance, Virgin Atlantic, and an extension of the BSNL contract.

Dividend Declaration Expected Today

Meanwhile, TCS is expected to announce an interim dividend today, with the record date set as July 16, 2025. Eligible shareholders on that date will receive the dividend if it is declared.

TCS has maintained a consistent and generous dividend track record, distributing Rs 314 per share over the last three fiscal years. Despite a relatively modest 5% rise in the stock over this period, the additional 9% from dividends takes total investor returns to 14%.

In FY2022–23, the company paid Rs 115 per share, including a Rs 67 special dividend and a Rs 24 final dividend. In FY2023–24, it paid Rs 73 per share across interim and final payouts. Most recently, in FY2024–25, TCS distributed Rs 126 per share, including a Rs 66 special dividend and a Rs 30 final payout. The company continues to be a reliable cash generator for the Tata Group and a top dividend payer on Dalal Street.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

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