Things are looking better for TCS than what they were at the end of the second quarter, says Rajesh Gopinathan, Chief Financial Officer, adding that the third quarter performance was strong considering the seasonal weakness.
In an interview with CNBC-TV18’s Menaka Doshi, Gopinathan said it was early to talk about client budgets, but that it has been a positive start to the calendar so far.
Below is the transcript of Rajesh Gopinathan's interview with Menaka Doshi on CNBC-TV18.
Q: Give us a sense of what Q4 is looking like and I also want a sense of what FY16 and I am keeping it very general because I will get to the specifics later but I want you to tell me because last you were very candid about how difficult times were looking and I want to see if that outlook has changed?
A: Let me start with Q3. The good news is that Q3 has come in quite strong on a seasonably adjusted basis, structurally very strong and comparatively also fairly better than what it was for the same period last year. Overall we have started off or getting into the calendar year on a positive note.
Q: Quarter three has been a bit of a disappointment, right, even after you talked down expectations in the mid quarter review. The mid quarter review itself was a bit of a surprise because you sounded even more dismal than you did at the end of Q2 and Q2 was the first time I heard you sound dismal. So the mid quarter review was more dismal than that and Q3 in some sense -- read any brokerage report this morning and they will say tad lower than estimate, tad disappointed.
A: Leave the estimates aside but overall when you look at Q3 and I agree that I was a bit more cautious in the middle of the quarter but in retrospect if you compare on that we have done 2.5 percent quarter-on-quarter growth in Q3 which is better than 2.1 that we did in the same period last year. However, if you look at the details of it, across all verticals except even for that matter the energy or retail, which is very expected, has done well, banks, financial services & insurance (BFSI) has come better than average.
For entire interview watch accompanying video.
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