Tata Consultancy Services Ltd, India’s top software services exporter, posted a 25.7 per cent jump in quarterly profit, on Monday, exceeding the forecasts, as the companywon large outsourcing deals as also raised the fees for the customers. But the growth in profit was however the smallest registered in seven quarters by the company as the rupee’s gains reduced earnings from the US, its biggest market.

Net income
The company’s net income rose 26 per cent to a record Rs 1,147.11 crore for the quarter ended September 30 from Rs 931.32 crore, a year earlier quarter.  The company’s sales rose 26 per cent to Rs 4,681.49 crore during the reported quarter as against Rs 3,681.20 crore in the said quarter of the previous fiscal.

Lower labour costs
The group, however, posted a net profit of Rs 1,251.60 crore for the reporting quarter as against Rs 1,018.68 crore in the previous fiscal’s quarter. The group’s total income was Rs 5,761.82 crore for the said quarter as against Rs 4,511.25 crore in previous fiscal’s quarter.

TCS joins Infosys Technologies Ltd in reporting slower profit growth as the stronger rupee undermined increased prices and lower labour costs.