TCS FY25 Q2 Results: Over 600 AI Engagements Deployed Successfully
Tata Consultancy Services (TCS) announced on Thursday that over 600 AI and generative AI engagements have been deployed successfully in production or in various phases of development so far. The company said it is seeing continued momentum with Gen AI adoption and the technology maturing at a rapid pace. “Our customers are increasingly concentrating on integrating AI throughout their entire enterprise value chain rather than working on isolated use cases. We are also enabling AI/GenAI capabilities across our suite of products and solutions,” TCS said in its FY25 second-quarter earnings release. TCS reported 270 AI projects across its global operations in the previous quarter and stated that its AI pipeline doubled to $1.5 billion in the last quarter. However, the company refrained from releasing financial projections related to these initiatives this quarter. Nonetheless, it revealed that clients are increasing their investments to enhance security measures. Hence, the company’s offerings are designed to provide security guardrails for AI and generative AI adoption, and they are gaining strong traction. TCS noted that while discretionary spending was affected, clients continued to invest in AI and generative AI, yielding better outcomes. The company is also establishing interdisciplinary AI offices and Centres of Excellence to strategise, prioritise, and implement AI at scale. The IT giant reported revenue of $7.67 billion, reflecting a 6.4% year-over-year increase, while net income reached $1.42 billion, marking a 3.8% year-over-year growth. The company also increased its headcount by 5,726 during that period, reaching 612,724. “We welcomed 11,000 associates in the first half of the year, and we remain on track for trainee onboarding as planned. We have also commenced the campus hiring process for FY26,” Milind Lakkad, chief human resource officer at TCS, said. It also launched a new delivery centre in Warsaw, Poland, aiming to double its workforce to over 1,200 within a year to support regional growth and demonstrate its capabilities across industries. Commenting on the quarterly results, K Krithivasan, chief executive officer and managing director, said, “We saw the cautious trends of the last few quarters continue to play out in this quarter as well. Amidst an uncertain geopolitical situation, our biggest vertical, Banking, Financial Services and Insurance (BFSI), showed signs of recovery. We also saw a strong performance in our growth markets.”
The company reported a revenue of $7.67 billion and increased its headcount by 5,726.
TCS said in its FY25 Q2 earnings release that over 600 AI and generative AI engagements have been deployed successfully in production or in various phases of development so far.
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