39) India Tata Consultancy Profit Up 37%

India's leading software corporation, Tata Consultancy Services Ltd. (TCS) said Monday its margin in the April-June quarter went up 37% than in the same period of last year, because new outsourcing pacts counteracted the influence of a weak dollar and salaries hike.

"It has been a good challenge for Tata Consultancy," said CEO, of Tata Consultancy Services Ltd S. Ramadorai. "Despite higher staff cost and a weak dollar, we have sustained the margin through demand creation and great execution."

The rupee's appreciation against US dollar - it went up roughly 6.6% through a quarter - influences corporations including TCS whose profits are mainly from software and back-office work outsourced by Western nations, esp. the USA.

Revenue grew to 52.03 billion rupees ($1.28 billion) from 41.44 billion rupees ($900 million), the company said in a statement. Net margin went up to 11.86 billion rupees in the April-June quarter, rising 37.4% form a year ago. However, profit growth was valued at about 55% in terms of dollar.

The margin surpassed the prediction of analysts, who predicted a greater effect on TCS’s profit because of strong rupee and higher wages. "We have managed to maintain our net profit," Ramadorai said, “We are able to enhance our productivity and get through the appreciation of rupee against US dollars.” Increasing business in non-America nations, esp. in Britain and Asia, is helpful for TCS to make up for the influence of a strong rupee. It also recruited 5,512 new workers, making the headcount of its staff to nearly 95,000.