INDIA'S software giant Tata Consultancy Services (TCS) Tuesday (9) reported record quarterly earnings, buoyed by a growing demand for its banking and financial services.
Mumbai-based TCS posted an 11.2 per cent rise in net profit to Rs 81.31 billion for the quarter that ended June 30, up from Rs 73.40bn a year earlier, the company said in a statement.
The earnings of TCS are seen as an indicator of the overall performance of the IT services sector.
"Our margins this quarter fully reflect the annual increments that we effected across the board in April," TCS chief financial officer V. Ramakrishnan said in a statement.
TCS was at the forefront of India becoming a back office to the world as companies largely in developed nations subcontracted work, taking advantage of the country's skilled English-speaking workforce.
"We continue to execute well and delivered some significant transformation programs to our customers during the quarter. Our platforms for the financial industry are doing well," said N Ganapathy Subramaniam, the chief operating officer.
The company also said it had added more women to its workforce, who now make up 36.1 per cent of it.
In November 2018, TCS was cleared of anti-American bias by a Californian court after former staffers, mostly Americans, had accused the IT giant of predominantly hiring Indians and firing locals.
TCS gets more than 80 per cent of its revenues from Western markets including the US and Europe.
India's $150bn IT sector has long been one of its flagship industries and despite multiple challenges, they continue to boast healthy balance sheets.
Shares of TCS fell almost two per cent on the Bombay Stock Exchange Sensex index as the markets had closed before the results were announced.
TCS rival Infosys is expected to announce its quarterly earnings this week.
UK becomes BYD’s biggest market outside China after record September sales
Seal U plug-in hybrid SUV drives majority of the brand’s growth
Tariff-free access gives Chinese EV maker a major edge over EU and US rivals
BYD’s record-breaking month in the UK
Chinese electric vehicle giant BYD has reported an 880% year-on-year surge in UK sales, marking its strongest performance outside China. The company sold 11,271 cars in September, with its plug-in hybrid SUV, the Seal U, accounting for most of the demand.
The sales boom comes as the UK recorded its highest-ever electric vehicle (EV) registrations, reflecting growing consumer interest and an expanding EV infrastructure. According to the Society of Motor Manufacturers and Traders (SMMT), nearly 73,000 pure battery electric vehicles were sold last month, alongside even faster growth in plug-in hybrids.
UK’s tariff-free status boosts Chinese EV makers
The UK’s appeal for Chinese automakers such as BYD lies in its tariff-free market access, a contrast to the European Union and United States, which have imposed steep levies on Chinese EV imports. In October last year, the EU announced tariffs of up to 45% on Chinese electric vehicles to protect European manufacturers from what it described as state-subsidised competition.
Chinese brands have been largely blocked from the US market due to tariffs backed by both Donald Trump and Joe Biden. This has made Britain a rare open field for Chinese electric car makers to expand aggressively.
Market share and retail expansion
BYD’s share of the UK market climbed to 3.6% in September, placing it firmly among the country’s leading EV sellers. Its Seal U model ranked in the UK’s top ten best-selling cars of the month, alongside established names such as the Kia Sportage, Ford Puma and Nissan Qashqai.
BYD’s UK general manager, Bono Ge, described the company’s prospects in Britain as “hugely exciting”, noting that the brand has just opened its 100th retail outlet. The firm plans to roll out more hybrid and electric models in the coming months to maintain its growth momentum.
Mixed picture for UK’s EV market
Despite record sales of electric and hybrid vehicles, petrol and diesel models still accounted for more than half of all new registrations in September, showing that the UK’s transition to full electrification remains in progress.
Earlier this year, the UK government introduced a £650m incentive package to boost EV adoption, offering car buyers discounts of up to £3,750 on brands such as Nissan, Peugeot and Vauxhall. However, the scheme excludes Chinese-made vehicles, citing emissions concerns linked to their production.
BYD pushes back on subsidy exclusion
BYD criticised the UK’s decision to exclude its models from the incentive programme, warning that it could distort competition and harm the wider EV market in the long run.
Even as domestic sales slow in China, BYD continues to outperform rivals globally. Its overall sales now surpass those of US electric carmaker Tesla and European brands including Jaguar and BMW, underscoring China’s growing dominance in the global electric vehicle industry.
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