• Revenue momentum: Constant-currency revenue grew 0.5% quarter-on-quarter, while international markets grew 1.2%; BFSI grew 2.5% and manufacturing 3%. TCS said it had grown sequentially for 5 quarters, with India affected by seasonality.
• Deal pipeline: TCV was $9.6 billion, with wins across services and verticals, including AI, enterprise transformation and manufacturing. Management said Porsche and Best Buy were not included in that figure; Porsche work is expected to begin from Q4 after closure concludes in Q3.
• AI opportunity: Annualized AI revenue increased by $500 million sequentially and had passed $3 billion. Management described AI work spanning enterprise transformation, modernization and business-outcome-led projects, as well as productivity and efficiency improvements in delivery.
• Investment and margins: Margins remained flat at 24% despite continued investment in partnerships and M&A, hiring, and higher subcontractor costs. TCS hired 4,500 people, of whom 25% to 30% had AI skills and 80% to 90% had new-services skills.
• Second-half outlook: Management said H2 should be better, citing continued growth momentum, a good order book and the expected contribution of strategic deals.