TCS posts 14 pc YoY fall in Q3 FY26 profit after tax at Rs 10,657 cr

Key Highlights

• On a sequential basis, PAT was lower by 11.7% from Rs 12,075 crore posted in the previous September quarter of FY26.
• The decline in Q3 FY26 PAT was despite a marginal growth of almost 5% YoY in the company’s topline during the period under review to Rs 67,087 crore from Rs 63,973 crore in Q3FY25.
• On a sequential basis, TCS has seen a 2% rise, while in constant currency terms, its revenue growth stood at 0.8%.
• The company’s bottom line was impacted after it provided for certain exceptional items during the quarter, including the provisions for a one-time charge related to the labour code besides legal claims, along with restructuring expenses.
• TCS stated that the statutory impact of new labour codes of Rs 2,128 crore, comprised Rs 1,816 crore towards gratuity and Rs 312 crore towards long-term compensated absences, which primarily arose due to changes in the wage definition under the new labour code.