TCS faces a muted Q1, trend in project ramping holds the key for Q2 show

A sustained delay in deal ramp ups and slower decision making by clients are expected to keep the June 2024 quarter revenue growth muted for Tata Consultancy Services (TCS). In addition, higher wage costs may affect the operating margin for the quarter.

The country’s largest software exporter is likely to report 1.4% sequential increase in the revenue at $7,466.1 million, according to the average of estimates by ETIG and nine brokerages. Investors also need to watch out for a possible one-time impact of a penalty of upto $ 194 million by a US district court related to misappropriation of trade secrets. The company will declare the June quarter result on Thursday evening.