Shares of Tata Consultancy Services leapt 2.9% to ₹2,141.50 after hitting an intraday high, then settled 1.3% higher at ₹2,105.10 ahead of the Q2 earnings release.
Analysts forecast Q2 revenue to rise 0.4% QoQ to $7.657 bn from $7.624 bn, while net profit is expected to climb 2.4% QoQ to ₹13,673 cr from ₹13,349 cr. The comparable Q1 PAT, excluding a ₹668 cr exceptional loss, was ₹13,849 cr.
EBIT margin is projected at 24.2%, up 20 basis points from 24.0% in Q1, a modest lift that still trails the sector average of around 25.5%.
Large‑cap IT peers anticipate a subdued Q2, citing client deferral of non‑critical spend, a focus on short‑term ROI, and AI‑driven productivity deflation that pressures pricing.
TCS will unveil its Q2 results at 3:00 pm IST; management has yet to issue formal guidance but expects margin improvement driven by partial reversal of Q1 wage hikes and AI investment returns. Investors will monitor the impact of the MHP acquisition on early‑year margins and the pace of AI monetisation.