TCS Eyes Expansion Amidst BSNL Deal Wind-Down

TCS anticipates a margin boost as it strategically expands its infrastructure while managing the tapering off of the BSNL deal. Despite declining specific profit numbers, CFO Samir Seksaria highlights efforts to compensate for BSNL revenue dips through diverse market pursuits, aiming for wider margins.

Tata Consultancy Services (TCS) is eyeing a strategic expansion in profit margins as the multi-crore BSNL deal begins to taper off. Chief Financial Officer Samir Seksaria mentioned that TCS is planning to expand its capacity significantly in Bengaluru, leveraging a recent land acquisition.

The tapering BSNL contract, contributing to revenue growth, is projected to wind down by the end of FY26. Seksaria noted that while specific profit impact numbers were not disclosed, TCS is on track to broaden its margins over time.

Despite the challenges posed by currency volatilities, TCS benefits from a comprehensive hedging program to manage financial stability. Furthermore, developments in Whitefield, Bengaluru—part of TCS's wider outfitting effort across India—signal an infrastructural growth trajectory aligned with future objectives.

(With inputs from agencies.)