Quarterly Update
published on Oct 20, 2017
Report Overview:
NelsonHall’s Quarterly Update on TCS provides a snapshot of developments at TCS in the last quarter.
Who is this Report for:
NelsonHall’s Quarterly Update on TCS provides a snapshot of developments at TCS in the last quarter. It accompanies NelsonHall’s more comprehensive Key Vendor Assessment program.
Both programs are designed for:
- Marketing, sales and business managers developing strategies to target service opportunities within the BPO/IT Services markets
- Sourcing managers monitoring the capabilities of existing suppliers of IT outsourcing services and identifying vendor suitability for IT services
- Consultants advising clients on vendor selection
- Vendor marketing, sales and business managers looking to benchmark themselves against their peers
- Financial analysts and investors specializing in the BPO/IT services sector.
Scope of this Report:
The report provides a quarterly update on TCS, looking at financial performance and key developments during the period.
It accompanies NelsonHall’s Key Vendor Assessment program which looks at TCS’ IT and BPO offerings, capabilities, and market and financial strengths, including:
- Identification of the company’s strategy, emphases and new developments
- Revenue breakdowns
- Analysis of the company’s offerings and key service components
- Analysis of the profile of the company’s client base including the company’s targeting strategy and examples of current contracts
- Analysis of the company’s strengths, weaknesses and outlook.
Key Findings & Highlights:
Q2 FY18 Performance: improvement on Q1 in spite of softness in Banking and Retail, with Continental Europe continuing to surge
- ‘Digital’ accounts for nearly 20% of revenues, growing at 31% y/y. Growth even in ‘non-digital’ activities
- North America still impacted by softness in Banking and Retail
- Another very strong quarter of organic growth in Continental Europe.
Service line restructuring has been completed; will report service line performance again next quarter
Claims the new organization is helping sharpen its focus on individual components in digital services, also in shaping offerings which combine consulting and multiple service lines.
Bookings healthy; first win at Diligenta for years
- Won eleven large deals in the quarter, one of these a platform-based LPS deal.
- Good level of wins for TCS platforms including TCS BaNCS.
- Through the Digitate subsidiary is now also beginning to sell ignio with TCS services provision involved.
Promoting capabilities in location-independent Agile
Indian hiring slowdown continues; focus on ramping onshore capabilities remains