Tata Consultancy Services becomes the second Indian company after RIL to reach an m-cap of Rs.12 lakh crore.
On Monday, Tata Consultancy Services Ltd., which is popularly known as TCS, became the second Indian company to hit Rs 12 lakh crore in market capitalization on the back of Information Technology (IT) services major's strongest December quarter growth in nine years. Reliance Industries Ltd., which is also known as RIL, still remains the first Indian company to achieve this milestone.
Last year in July, when shares of the oil retail telecom conglomerate crossed the mark of INR 1,900 on BSE, RIL’s market capitalization crossed the figure of INR 12 lakh crore, which at present has increased to INR 12.29 lakh crore. TCS share price increased by 3.5 percent and it reached a fresh, high value of INR 3,230 per piece on BSE. This happened today after the company reported an annual rise of 7.17 percent. This raised the net profit of the company to INR 8,727 crore as compared to INR 7,504 crore in the July-September quarter last year. Today at 12:30 pm, the market capitalization of TCS was INR 11.8 lakh crore when the share price was INR 3,169 after an increase of 1.56 percent.
Despite the Q3 being quite a weak quarter seasonally, TCS, in December reported the strongest growth in 9 years.
The CEO and MD of TCS, Rajesh Gopinathan, said in an interview, “Believe What We are witnessing is fairly long cycle technology upgrade opportunity, most important aspect it is at multiple levels, whether it is from a technological perspective, operating model perspective and even more importantly from customer biz transformation positioning perspective.”
He also said that TCS is in such a good position that it can participate in the multi-year opportunity ahead. According to him, it is definitely sure that TCS will make a growth in double-digit beyond FY22. He has openly challenged the rest of the stakeholders that they can either bid for or against TCS, but the IT giant is not going to stop.