📅 Q4 FY24 Result Declared | 🎯 Market Cap: ₹13.7 Lakh Crore | 👨💻 Shareholders: Millions (yes, literally)
TCS has declared its Q4 FY24 results, and as expected, it didn’t shout. It whispered — politely, predictably, and with zero drama.
But in a world of flashy AI startups, can old-school IT still code its way to your portfolio? Or has this tech giant become just a fixed deposit with a keyboard?
Let’s Ctrl+Alt+Del the noise and break it down.
📊 Quarterly Results Snapshot
| 💡 Metric | 🔢 Q4 FY24 | 🎯 YoY Change |
|---|---|---|
| Revenue | ₹61,237 crore | +3.5% |
| Net Profit | ₹12,434 crore | +9.1% |
| Operating Margin | 24.6% | +60 bps |
| Dividend Declared | ₹28/share | 💰 Consistent |
| Headcount | ~601,546 | 📉 -13,000 YoY |
🧠 Translation: TCS is still that student who scores 95% and goes straight home — no parties, no tweets, no crashes.
📣 What Did Management Say vs What They Meant™️
🗣️ CEO K Krithivasan: “We are seeing good deal momentum across key geographies.”
🔍 Translation: “America stopped sulking, Europe is still ghosting, but BFSI deals are slowly texting back.”
🗣️ CFO Samir Seksaria: “We have improved operational efficiency and delivered industry-leading margins.”
🔍 Translation: “We fired some people, froze hiring, and didn’t give everyone that much-needed raise. You’re welcome, shareholders.”
📈 EduInvestor’s Table of Truth™
| 💾 Key Segments | Growth (YoY) |
|---|---|
| BFSI (Banking/Finance) | +1.2% |
| Retail & Consumer Goods | -0.8% |
| Healthcare & Life Sci | +3.3% |
| Manufacturing | +4.1% |
| Communication & Media | +1.5% |
📉 Retail and Europe are still stuck in recession-y uncertainty.
📈 Manufacturing and BFSI are now wearing the hero capes.
🧠 Why the Market Still Likes TCS
- 🧾 Cash machine: Free cash flow remains strong. Even LIC gets jealous.
- 📦 Mega deals: ₹10 billion+ contracts continue to pour in.
- 🧘 No scandals: No founders fighting. No auditors resigning. No hidden skeletons.
- 🧓 Stable dividends: You don’t just hold TCS for price — you hold it like your grandma’s LIC policy.
📉 But Here’s the Downside
- 🧊 Frozen hiring = Growth pause.
- 🛑 Attrition drop is good, but is it because employees love the company or because nobody else is hiring?
- 🤖 AI threat: While everyone is shouting GPT, Claude, and LLMs… TCS is still talking “Digital Transformation.”
Let’s be real — AI is the new Y2K, and if TCS doesn’t upskill from Java to Jarvis, it may miss the next boat.
🧮 Valuation Gyaan (Without the Jargon)
| Metric | TCS | Infosys | HCL Tech |
|---|---|---|---|
| P/E Ratio | 30x | 24x | 21x |
| ROE | 47.2% | 29.5% | 21.8% |
| Dividend Yld | ~1.5% | ~2.2% | ~3.0% |
| Debt | Nil | Nil | Nil |
⚖️ Verdict: Expensive? Yes. Worth it? Depends.
TCS is that premium product — not flashy, but durable. If you want thrills, go to Paytm. If you want peace, stay here.
🥊 Peer Comparison Roast
- Infosys: Like TCS’ younger cousin who’s smart but keeps missing deadlines.
- Wipro: Still in therapy from its CEO turnover.
- HCL Tech: The silent assassin. Growing faster, but still lives in the shadow.
- Tech Mahindra: Trying to turn 5G into revenue. So far… signal weak.
🧭 Outlook: Rocket or Rickshaw?
🚀 Positives:
- Strong deal pipeline
- Zero debt
- Backed by Tata reputation
- Huge digital infra moat
🪑 Negatives:
- Not aggressive on AI
- Margin pressure if wage hikes return
- Europe still acts like it’s in lockdown
🧠 EduInvestor Verdict: Buy, Hold or Ctrl+Z?
| Verdict | 🗣️ Our Call |
|---|---|
| Risk-Averse | ✅ BUY |
| Long-Term View | ✅ HOLD |
| Looking for 2x | ❌ Look Elsewhere |
| Dividend Seeker | ✅ BUY |
📦 If you want stable, boring, profitable tech with regular dividends and Tata trust — this is your stock.
But if you’re waiting for multibagger fireworks like Nykaa, Zomato, or Adani’s next adventure, this will bore you to profitability.
🏁 Final Thoughts
TCS is like the Sachin Tendulkar of Indian IT. Calm, consistent, and respected. But don’t expect sixes every over.
Keep it in your portfolio if:
- You want peace of mind.
- You want to flex your “blue-chip” holdings on social media.
- You believe boring is beautiful.
